Crayons Advertising IPO to open on May 22: Check price band & other details

The initial public offering (IPO) of Crayons Advertising kicks off for subscription on Monday, May 22 as the company looks to sell its shares in the range of Rs 62-65 apiece. The issue can be subscribed till Thursday, May 25. The issue consists of fresh equity shares of 64,30,000 with a face value of Rs 10 each, amounting to Rs 41.80 crore.

Incorporated in 1986, Crayons Advertising is a homegrown integrated advertising agency. Crayons Advertising will be India's first major homegrown integrated advertising agency to go public.

Investors can make their bids in the lot size of 2,000 equity shares with each lot costing Rs 1,30,000 each. Retail investors can make a bid for only a single lot of 2,000 equity shares, while HNI investors can make a bid of a minimum of 2 lots or 4,000 equity shares

The company provides a high-end ecosystem and end-to-end ad-tech communication solutions platform for advertising media services consisting of brand strategy, events, digital media, Print Media, and Outdoor Media services, which cover advertisement modes such as Newspapers, Brochures, Magazines, Television Channels, FM channels and display of Outdoor Hoardings and more.

For the nine months ended December 31, 2022, Crayons Advertising reported a total revenue of Rs 203.75 crore and a net profit of Rs 12.67 crore. Its total revenue stood at Rs 194.05 crore in the financial year 2021-22, with a net profit of Rs 1.61 crore for the period.

Not more than 50 per cent equity shares, or 30.52 lakh shares, are reserved for qualified institutional bidders (QIBs), while 15 per cent, or 9.18 lakh equity shares, are allocated for non-institutional investors (NIIs). Retail investors will get 35 per cent, or 21.38 lakh equity shares. The remaining 3.22 lakh equity shares are reserved as the market maker portion for SS Corporate Securities.

Corporate Capital Venture is the lead manager, and Skyline Financial Service is the Registrar issue. The company will make its debut at the SME platform of the National Stock Exchange (NSE).

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