Schedule of S A Tech Software India
| Issue open date | 26 Jul 2024 |
| Issue close date | 30 Jul 2024 |
| UPI mandate deadline | 30 Jul 2024 (5 PM) |
| Allotment finalization | 31 Jul 2024 |
| Refund initiation | 01 Aug 2024 |
| Share credit | 01 Aug 2024 |
| Listing date | 02 Aug 2024 |
| Mandate end date | 14 Aug 2024 |
| Lock-in end date for anchor investors (50%) | 30 Aug 2024 |
| Lock-in end date for anchor investors (remaining) | 30 Oct 2024 |
Note: The schedule is tentative. 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. The allotment status can be checked on the registrar's website and the exchange website.
About S A Tech Software India
Founded in 2012, S A Tech Software India Limited is an IT consulting Subsidiary Company of foreign body corporate SA Technologies Inc, USA, and is centred in Pune and Bengaluru. It is an AI-driven IT consulting company, offering scalable IT outsourcing solutions and Global Development Centers (GDCs) that enhance business agility and efficiency. The company’s primary business line is IT Services which includes providing outsourced Technological services and digital transformation services to some Fortune 500 clients helping them conceive, design, develop, and deliver better products. The Company has partnerships with Global Giant tech companies (such as Microsoft and Google ) showcasing its experience and dedication in the tech industry.
The company is a CMMI (Capability Maturity Model Integration) certified company. This certification underscores the pinnacle of process improvement and service excellence in the IT sector, solidifying their global presence. The company also has domain expertise in mobile app development, Cloud infrastructure, Software Quality assurance and testing, generative AI, machine learning, IoT solutions, Data science and analytics, Software development and engineering, Digital transformation and automation, Cloud and DevOps services.
Financials of S A Tech Software India
Issue size
| Funds raised in the IPO | Amount |
| Overall | ₹23.01 crores |
| Fresh issue | ₹23.01 crores |
| Offer for sale | – |
Utilisation of proceeds
| Purpose | INR crores (%) |
| Working capital requirements | 10.8 (46.94%) |
| Debt reduction | 9.18 (39.90%) |
| General corporate purposes | 3.03 (13.16%) |
*All figures except EPS are in ₹ crores
Strengths
- Scalable Business Model: The company designs, develops, deploys, and maintains IT solutions for end-user utilities and pre-compiled application stack. Further, the proprietary designs are cloud-native which, in addition to technological benefits, are capable of catering to the evolving needs of Clients. The business scale generation is due to the exponential online digital possibilities open to the company.
- Marque set of clients: The company has a diversified global presence across the USA and Canada because of its Parent and Group Companies. As of September 2023, They have served and have had long-lasting relationships with some of the big clients across different parts of the world like Dell-EMC, ABB Global Industries & Services Pvt Ltd, Whirlpool India Ltd, WHIRLPOOL ASIA LLP, Toll (India) Logistics Private Limited, Societe Generale Global Solution Centre Pvt Ltd, etc.
Risks
- Lack of long-term contracts: The company has not entered into any long-term contracts with any of the customers and typically operates based on purchase orders, If competitors’ services offer better margins to such customers or otherwise incentivize them, there can be no assurance that the company’s customers will continue to place orders which could adversely impact the revenues and profitability.
- Reliance on top clients: The company derives nearly 70% of its revenue from its top ten customers. Any reduction in business from these top ten customers or any other major clients could have negative implications for both revenue and profitability.
- Negative cash flows: The company had negative cash flow in 2 of the last 3 recent fiscals. Sustained negative cash flow could adversely impact the business, financial condition, and results of operations.