Radiant Cash Management Services Limited IPO Details

 

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Radiant Cash Management Services Limited IPO Detail

Offer period

Dec 23, 2022, to Dec 27, 2022,

Price Band

₹94 to ₹99 per share

Lot Size

150 Shares

Issue Size

₹387.94 Cr

Listing Date

Jan 4, 2023

Allotment Date

Dec 30, 2022

 

Radiant Cash Management Services Limited - Company Overview

Radiant Cash Management Services Limited, founded in 2005, is the market leader in retail cash management services for banks, financial institutions, organised retail, and e-commerce companies in India. Under this segment, the company provides a variety of services, including cash collection and delivery on behalf of our clients from end users.

A qualified and motivated workforce of approximately 2,012 employees supports the company's management (as of July 31, 2022).

The Company's primary goals are as follows:

  1. To carry on the business of providing Cash/Cheques/DDs Pickup and Delivery Services to Banks, Individuals, Commercial and Government Establishments, Cash Processing such as sorting for good and soiled currencies, notes, coins of various denominations, Overnight vaulting services for bulk cash and ATM cards, cassettes and important documents, ATM services, handling of PIN mailers/drafts/cheque book delivery, and provision of strong rooms installed in accordance with RBI guidelines.

  2. To manage electronic online and mobile financial and cash transactions, as well as product management and intellectual property development in the field of cash management.

  3. to conduct any cash management-related business under business process outsourcing.

 

Radiant Cash Management Services Limited - Business Overview

As of March 31, 2022, the company is one of the largest players in the RCM segment in terms of network locations or touch points served.

As of July 31, 2022, Radiant Cash Management Services provided services across 13,044 pin codes in India, covering all districts (except Lakshadweep), with approximately 55,513 touchpoints serving more than 5,388 locations.

Axis Bank Limited, Citibank, Deutsche Bank Limited, HDFC Bank Limited, ICICI Bank Limited, Kotak Mahindra Bank, Standard Chartered Bank, State Bank of India, The Hongkong and Shanghai Banking Corporation Limited, and Yes Bank Limited are among the company's key clients.

 

Radiant Cash Management Services Limited - Objectives of the IPO

The net proceeds of the Fresh Issue are as follows:

  1. Meeting working capital needs.

  2. Capital expenditure funding for the purchase of specially fabricated armored vans.

  3. General corporate objectives.

 

Radiant Cash Management Services Limited - IPO Synopsis

Radiant Cash Management Services Ltd's initial public offering (IPO) worth 387.94 crores begins on December 23, 2022 and ends on December 27, 2022. The IPO consists of a fresh issue of shares worth Rs.60 crores and an offer for sale by its existing promoters and shareholders worth up to Rs. 327.94 crores.

The price band is fixed at Rs. 94-99 per share, with a lot size of 150 shares per lot. The issue will be listed on January 4th, and the shares will be distributed on December 30th. The issue's lead managers are IIFL Securities, Motilal Oswal, and Yes Securities.

 

Radiant Cash Management Services Limited - Financial Overview (in crores)

Period Ended

Total Assets

Total Revenue

Profit After Tax

Net Worth

Total Borrowing

31-Mar-19

141.44

223.13

25.02

105.72

17.73

31-Mar-20

157.62

251.78

36.5

119.57

21.13

31-Mar-21

162.14

224.16

32.43

127.1

11.05

31-Mar-22

190.57

286.97

38.21

139.76

26.75

30-Jun-22

203.95

84.38

15.32

155.19

25.54

 

Radiant Cash Management Services Limited IPO - Pros
  1. An industry leader in integrated cash logistics, present at every stage of the retail cash management value chain.

  2. A strong network in Tier 2 and Tier 3+ locations throughout India, as well as end-user segments that are rapidly expanding

  3. A diverse client base with a long history and the ability to cross-sell value-added services.

  4. Effective operational risk management.

  5. Significantly increased technology to improve operational profitability.

 

Radiant Cash Management Services Limited IPO - Cons
  1. The business is heavily reliant on the Indian banking sector for revenue, and any changes within Indian banks that affect their use of and demand for cash management services could have an impact on the business and its operations.

  2. If one or more of the key customers' businesses deteriorate, cease doing business, or significantly reduce their dealings with the, revenues may fall.

  3. As cashless payment systems gain traction, a decrease in the availability or use of cash as the primary mode of payment in India could have a negative impact on the business.

  4. The currency demonetisation measures had a significant impact on India's cash flow, and it's uncertain whether other unexpected measures will have the same effect. As a result, the future is unpredictable.

  5. Because of the large volumes of cash handled, the firm is vulnerable to a variety of operational risks, including armed robbery, end-customer or third-party fraud, employee theft or embezzlement, both deliberate and unintentional reporting errors, and failure to meet specific requirements under applicable service agreements, for which we may incur penalty charges.

 
How to Apply for Radiant Cash Management Services Limited IPO
  1. Go to https://ipo.adityatrading.in/

  2. Enter your client ID

  3. Enter the OTP received in your registered mobile number.

  4. Choose the IPO and click on apply button.

  5. Enter the UPI ID, Quantity, and Cut off price.

  6. Click on submit button.

  7. Confirm the mandate request received on your phone by entering the UPI Pin.

  8. You can also watch our youtube video on “How to Apply on IPO”

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