Indian Expositions to go public with Rs 600 cr IPO

Destination Greater NOIDA

Indian Expositions to go public with Rs 600 cr IPO

4th largest integrated exhibitions and conventions venue

India Exposition Mart provides technology-driven, world-class facilities and safety standards for worldwide B2B events

MUMBAI, Mar 7 (The CONNECT) - Noida-based India Exposition Mart Limited, the fourth largest integrated exhibitions and conventions venue, has filed its draft red herring prospectus (DRHP) with SEBI for an initial public offering (IPO). The initial share sale with a face value of Rs 5 per equity share comprises fresh issue of equity shares aggregating up to Rs 450 crore and an offer-for-sale (OFS) of up to 11,210,659 equity shares by existing shareholders.

As per market sources, the company is targeting to raise around Rs 600 crore.

Of Rs 450 crore fresh issuance, the company is planning to use about Rs. 316.91 crores for funding capital expenditure requirements for expansion of our existing infrastructure facilities, Rs 17 crore for the repayment or prepayment of borrowings and for general corporate purposes.

India Exposition Mart provides technology-driven, world-class facilities and safety standards for worldwide business-to-business exhibitions, conferences, congresses, product launches and promotional events.

Located in Greater Noida, India's most popular MICE (Meetings, Incentives, Conferences And Exhibitions) destination, stretched across 58 acres, with a building complex of 2,34,453.29 square metres, with a capability of hosting more than one event simultaneously, with a combination of technology merged with high-end facilities and safety standards, suitable for hosting international events.

The venue planner has approximately 15 years of experience managing and organising exhibitions and trade fairs, and has managed and organised a variety of exhibitions seminars, meetings, runway displays, and gala nights and conventions, including the Indian Handicrafts and Gifts Fair, Elecrama, Auto Expo – The Motor Show, CPHI&P-MEC, and Print Pack, which are among India's most well-known events, with an average of 170 events throughout the last five fiscal years, and from April 1, 2021 to December 31, 2021.

Various ministries of the Indian government, statutory corporations, companies, and renowned global agencies, including the Ministry of Finance, Ministry of Commerce & Industry, Ministry of Environment, Forest and Climate Change, Ministry of Health and Family Welfare, Export Promotion Council for Handicrafts, International Garment Fair Association, Trade Promotion Council of India, and Indian Printing Packaging & Allied Machinery Manufacture, have all used it as a venue.

As of December 31, 2021, India Exposition Mart had an order book aggregating to Rs 121.52 crore from various exhibitions, with its Expo Centre and Mart having a total display area of 73,308 square metres and 24 virtual events spread out over 113 days to ensure that its clients can maintain continuity in their outreach to their respective audiences. It houses over 800 permanent show rooms of Indian exporters, and has 14 multi-purpose halls, 29 meeting rooms, 4 open areas, 4 speciality restaurants and an ongoing guest house project (under-construction) with 128 rooms and amenities. In addition, it also has buyers’ lounge, foreign exchange outlet, logistic support, extensive parking and modern security and safety features.

The company faces intense competition across its market segments ranging from large, diversified businesses to smaller companies specializing in niche products and services, which includes Hyderabad International Trade Expositions Limited, Bangalore International Exhibition Centre, Bombay Exhibition Centre, Hyderabad International Convention Centre, Pragati Maidan (ITPO), India International Convention and Expo Centre, Karnataka Trade Promotion Organisation, Codissia Intec Technology Centre.

India Exposition Mart had revenues of Rs 13.3 crore in FY21 and for six months ended September 30, 2021, stood at Rs 10.66 crore which primarily includes income from space rent for fair and exhibitions of Rs 4.78 crore and income from maintenance services of Rs 5.77 crore.

In the Asia-Pacific area, India ranks third in terms of available indoor exhibition space. Indoor exposition halls are the most common type of venue available in India. The event and exhibition market in India was valued at USD 3,326.04 million (Rs 24,699.17) in 2020, and it is predicted to grow to USD 6,740.63 million (Rs 50,055.92 crore) by 2026, with a CAGR of 12.91 percent between 2021 and 2026. With 22.6 percent of the market in 2020, the consumer goods and retail category accounted for the largest proportion of the end-user industry. Over the forecast period, the healthcare and pharmaceutical industry is expected to grow at the fastest rate of 17.52 percent.

Emkay Global Financial Services Limited is the sole book running lead manager and Kfin Technologies Limited is the registrar to the offer.   

Recent News