Addictive Learning Technology Limited, the owner of brand ‘LawSikho’, is launching its Initial Public Offering (IPO) on January 19, 2024 and subsequently plans a listing on the SME segment of NSE on January 29, 2024. The company plans to raise ₹60.16 crore through the IPO – a combination of a fresh issue of shares and an offer-for-sale as well. The fresh issue consists of 41.37 lakh shares worth ₹57.92 crore and the offer-for-sale (OFS) comprises of 1.6 lakh shares worth ₹2.24 crore. The IPO price band is set at ₹130 to ₹140 per share on a a face value of ₹10 each.
About Company
Addictive Learning Technology Limited is an educational tech platform that was incorporated in September 2017. It is oriented to provide upskilling and career solutions to young, medium, and senior career professionals. The learning tech platform has also included variety of courses and training programs to level up an individual’s skills.
There are three bands of Addictive Learning Technology Limited; LawSikho, Skill Arbitrage, and Dataisgood. It covers courses such as Artificial Intelligence, Content Writing, Business Consulting, Compliance, Law, Finance, Human Resources, and Data Science. The organization also provides international bar exam courses, including the Canada Bar Exam, UK Solicitor Qualification Exam, and California Bar Exam.
Courses offered by the company are accredited by the National Skill Development Corporation (NSDC). Upon successful completion of the chosen course individual learners receive a certificate with is co-branded by NSDC and Skill India. Till October 2023, Addictive Learning Technology Limited employs 444 professionals/consultants and 144 staff employees.
Addictive Learning Technology (LawSikho) IPO Details
| Offer Dates | |
| Opening | January 19, 2024 (Friday) |
| Closing | January 23, 2024 (Tuesday) |
| Issue Details | |
| IPO Type | Fresh Issue and Offer for Sale (OFS) for Book Build issue |
| Issue Size | 42,97,000 shares aggregating up to ₹60.16 Crores |
| Fresh Issue | 41,37,000 shares aggregating up to ₹57.92 Crores |
| Offer for Sale | 160,000 shares aggregating up to ₹2.24 Crores |
| Market Maker Reservation | 3,16,000 shares |
| Net offering | 39,81,000 Shares (excluding market maker reservation) |
| Face Value | ₹10 per Share |
| Price Range | ₹130 to ₹140 per share |
| Lot Size | 1000 Shares |
| Lot Amount | ₹1,40,000 |
| Holding before issue | 1,17,72,732 Shares |
| Holding after issue | 1,59,09,732 Shares |
| IPO Organizer | |
| Listing at | NSE SME |
| BRML | Narnolia Financial Services Ltd |
| Registrar | Maashitla Securities Private Limited |
| Market maker | – |
| Investor Cape & Quota | |
| Retailer investors: Not less than 35% of net offering. Can apply for maximum 1 lot. NIIs have a quota of 15% which can bid 2 lots minimum. QIB investors are offered 50% of the net offering. | |
| Share Allotment & listing | |
| Finalization of allotment basis | January 24, 2024 (Wednesday) |
| Credit of Shares to Demat / Refunds / Unblocking of Funds | January 25, 2024 (Thursday) |
| IPO Listing Date / Share Trading | January 29, 2024 (Monday) |
Company’s financials
Addictive Learning Technology Limited recorded an 80.41% growth in revenue and a 603.63% rise in profit after tax (PAT) in the financial year ending in 2023 as compared to FY2022.
| Financial Period Ending in | 31 Aug’23 | 31 Mar’23 | 31 Mar’22 | 31 Mar’21 |
| Net Worth | 522.27 | 206.30 | -40.82 | -1.75 |
| Total Assets | 1324.95 | 920.64 | 103.11 | 65.05 |
| Revenue from operations | 2482.36 | 3353.43 | 1857.29 | 677.77 |
| EBITDA | 489.18 | 334.50 | -44.19 | 2.17 |
| EBITDA Margin | 19.71% | 9.97% | -2.38% | 0.32% |
| Profit After Tax (PAT) | 315.96 | 247.13 | -49.07 | -0.54 |
| PAT Margin | 12.73% | 7.37% | 2.64% | -0.08% |
| Debt-Equity Ratio | 0.08 | |||
| Cash flow from operations | 306.52 | 139.43 | -21.30 | 45.85 |
| Reserves & Surplus | 512.17 | 196.20 | -50.92 | -1.85 |
| Total Borrowing | ||||
| Amount in ₹ Lakhs | ||||
IPO Valuation – Key Performance Indicator
| KPI | Values |
| D/E Ratio | 0.08 |
| Earnings Per Share (EPS) | ₹4.94 |
| Return on equity (ROE) | 119.79% |
| Return on capital employed (RoCE) | 157.53% |
| Return on Net Worth (RoNW) | 119.79% |
Objects of the Issue
The company plans to utilise the funds from the issue to meet the expenses of acquisition (identified and unidentified) for the company, expenses for investment in technology, development of courses and branding & marketing. Further proceeds will be used to meet the working capital requirements and general corporate purposes including the issue expenses.
Refer to the RHP for more details.
