Enfuse Solutions is engaged in providing integrated digital solutions across various domains. Enfuse Solutions IPO is raising Rs 22.44 crores. The issue is entirely a fresh issue of 23.38 lakh shares.

About Enfuse Solutions Limited:

• In 2019, company commenced its operations with a Delivery Centre in Mumbai.
• Their business operations encompass various domains
  • (i) In Data Management & Analytics. They organize and analyze data, providing tailored insights for informed decision-making such as Master data Management, Product information Management etc
  • (ii) E-commerce & Digital Services form a core area where they develop and optimize digital platforms for seamless online experiences such as E- commerce platform management, content management, Digital marketing etc.
  • iii) Machine Learning & AI represent their capabilities in advanced technologies, offering innovative solutions such as tagging/labelling, Transcription , Annotation etc
  • (iv) Edtech & Technology Solutions focus on leveraging technology to enhance educational experiences and overall technological solutions such as live Proctoring, Record and review, Student Counselling etc.
  • Imran Yasin Ansari, Mohammedk Lalmohammed Shaikh, Rahul Mahendra Gandhi, Zaynulabedin Mohmadbhai Mira and Farheen Imran Ansari are the Promoters

Financials: Enfuse Solutions Limited

Anchors: Enfuse Solutions IPO

Enfuse Solutions IPO: Salient Points

• Company intend to utilize the proceeds of the Issue for:
  a). Repayment of certain Borrowings availed by the Company
  b). To meet Working Capital requirements; and
  c). General Corporate Purpose.
• Clients: Company serves Start ups, as well as established companies, operating in sectors such as Technology, BFSI , FinTech, Media and Entertainment, Health, Education etc.
• The Net Proceeds are proposed to be used for purchasing capital equipment, meeting working capital needs, covering public issue expenses, and general corporate purposes.
• Peers:

• Company’s revenue is generated from a combination of domestic operations within India and international endeavors, with a predominant share originating from its exports of services to countries like USA, Ireland, Netherland, Canada etc.
• Company have generated around 67.87%, 83.47%, 77.72% and 63.58% of company’s total revenue from exports.
• Company have received work order as System Integrator for Computerization of PACS from the Commissioner for Co-operation & Registrar of Cooperative Societies, Maharashtra, for providing services like Operationalization of the software, Data digitization and migration, UAT and System Test, Setting up of support centres, Compliance reports etc. for a value Rs. 64.53 Crs.
• Company’s revenue has grown at CAGR of 23 % from FY21-FY2
• EBIDTA has grown at CAGR of 50 % for this period.
• PAT has grown at CAGR of 37 % during the same years.
• Enfuse Solutions IPO is coming at a PE ratio of 29x (fy23 earnings) and 20x (Fy24 annualized earning)
• I intend to apply in Enfuse Solutions IPO subject to availability of funds. There is an element of risk Market conditions right now are quite bad for new listings. THis can spread to SMEs as well.
• It may be noted that many times my expectations have proved to be wrong & I have been forced to sell or hold the stock in loss. Current market conditions call for lot of caution.
• GMP as per Social media is around Rs. 40. It may be noted that such rates are perhaps in thin deals and may not be even indicative. I steer clear of any deals in GMP however lucrative they may appear, nor I have any access to any grey market operator.
• SME IPO are much more risky and volatile than mainboard IPOs.
• Standard disclaimer: I am not a SEBI registered analyst and above analysis is for educational purpose only. Iam a postgraduate in engineering & Management. I have in the past cleared some exams like NISM-Series-V-A: Mutual Fund Distributors Certification, NISM-Series-X-A: Investment Adviser (Level 1) Certification and NISM-Series-X-B: Investment Adviser (Level 2) Examination. These certifications are for 3 year period and are no more valid. This post is my view on the subject matter and is only academic and exploratory in nature. It is not meant to influence investment decisions of investors. I may have bias/vested interest in covered Stock/Mutual Funds/NCD etc. due to my own investment or leaning. Further my understanding of the areas on which I write may be imperfect or incomplete and data could be wrong due to limited time and resources at my disposal. Do check the data from company’s RHP and exchanges before making any decision. Please do your own due diligence as stock market/MF/IPO investments have high degree of inherent risk.