About R K Swamy Limited
R K Swamy Limited is launching its IPO. The IPO opens for subscription on 4th March and will close on 6th March 2024.
What does R K Swamy Limited do?
Founded in 1973, R K Swamy Limited is one of India’s leading integrated marketing service groups, offering a single-window solution for creative, media, data analytics, and market research services.
The company offers a comprehensive range of services in the following interrelated and complementary business segments:
- Integrated Marketing Communications
- Customer Data Analytics and Marketing Technology (Customer Data Analytics and MarTech)
- Full-Service Market Research (including customer experience measurement) and Syndicated Studies (Full-Service Market Research)
It is ranked 8th in terms of estimated operating revenue among the integrated marketing communications services groups operating in India (Source: CRISIL Report). Some of the company’s key clientele include companies such as Aditya Birla Sun Life AMC Limited, Cera Sanitaryware Limited, Dr. Reddy’s Laboratories Limited, Havells India Limited, HPCL, M&M, ONGC, Royal Enfield (a unit of Eicher Motors), Shriram Finance Limited, Tata Play Limited, Ultratech Cement Limited, and Union Bank of India.
What is the issue size of the R K Swamy Limited IPO?
The 423.56 crore public offer of the company is a combination of a Fresh equity issue worth 173 crore and an offer for sale (OFS) worth Rs. 250.56 crore from the existing shareholders.
Financials of R K Swamy Limited IPO (₹ crores)
| Financial Year | Total Assets | Total Revenue | Profit After Tax | EBITDA | EPS |
| March 31, 2021 | 390.06 | 183.22 | 3.08 | 28.82 | 0.69 |
| March 31, 2022 | 406.44 | 244.97 | 19.26 | 44.42 | 4.33 |
| March 31, 2023 | 313.65 | 299.91 | 31.26 | 62.90 | 7.03 |
Schedule/Timeline of R K Swamy Limited IPO
| Issue Period | 4th March to 6th March 2024 |
| Deadline for accepting UPI mandate | Until 5 PM on the issue closing day |
| Finalization of Allotment | March 07, 2024 |
| Initiation of Refunds | March 11, 2024 |
| Credit of Shares | March 11, 2024 |
| Date of Listing | March 12, 2024 |
| Mandate end date | March 21, 2024 |
| Anchor Investors Lock-In End Date (50% of the investment) | April 07, 2024 |
| Anchor Investors Lock-In End Date (Remaining investment) | June 07, 2024 |
Note: Given that the above schedule is tentative, it should be noted that the anchor lock-in period ends 30 days after the actual allotment date for 50% of the shares, and 90 days after for the remaining portion.
Risk factors to consider:
Dependence on key clients: The business is concentrated around key clients with long-term relations, which account for a significant amount of the revenue. If the company fails to retain these clients, or if the key clients reduce their marketing budgets, The business, revenue growth, results of operations, cash flows, and financial condition may be materially and adversely affected.
Potential changes in digital marketing trends: Digital Marketing and Integrated Marketing Communications form nearly 80% of the total revenue of the company. Any changes in trend or decrease in digital advertisement/Integrated Marketing Communications could have a material adverse effect on the business, revenue growth, and results of operations and financial condition.
How to apply to the R K Swamy Limited IPO?
You can apply for the R K Swamy Limited IPO using any supported UPI app by following two steps:
- Enter your bid on Kite
- Accept the UPI mandate on your phone
On acceptance of the mandate, the bid amount will get blocked in your bank account. Click here to learn more.
How to check the allotment status for the R K Swamy Limited IPO?
You can check the allotment status for the R K Swamy Limited IPO on the website of the Registrar and Transfer agent.