Wagons Learning Limited is set to make waves in the market with its Initial Public Offering (IPO), scheduled to open for subscription on Friday, May 2, and close on Tuesday, May 6. Investors will find the price band for this offering set between ₹78 and ₹82 per equity share, with a face value of ₹10 each. The minimum bid requirement is 1,600 equity shares, and subsequent bids can be made in multiples of 1,600.
Who is Wagons Learning Limited?
Wagons Learning is a key player in the corporate training and digital learning sector, specializing in B2B services. The company provides a variety of solutions, including:
- Comprehensive training programs
- Professional certifications
- Trainer outsourcing services
- Payroll management
The firm focuses on essential areas such as sales, customer service, and soft skills, catering to diverse industries like automotive, BFSI, and healthcare. Additionally, Wagons Learning offers Learning Management Systems (LMS), Learning Experience Platforms (LxP), and digital libraries tailored for corporate clients and educational institutions.
Expansion and Growth Strategy
Recognized by the National Skill Development Corporation (NSDC), Wagons Learning has successfully trained over 550,000 professionals. With ambitions for global expansion, the company has established a presence in the UAE and aims to broaden its international footprint further. Future plans include launching a B2C model featuring industry-aligned certification courses.
Financial Overview
In the fiscal year 2024, Wagons Learning reported impressive financial figures, including:
- Revenue from operations: ₹3,337.68 lakhs
- EBITDA: ₹812.65 lakhs
- Profit After Tax (PAT): ₹561.21 lakhs
By December 2024, the company recorded:
- Revenue from operations: ₹3,305.78 lakhs
- EBITDA: ₹844.15 lakhs
- PAT: ₹554.39 lakhs
According to the red herring prospectus (RHP), comparable companies include NIIT Learning Systems Ltd with a Price-to-Earnings (P/E) ratio of 24.3 and Vinsys IT Services India Ltd at 19.9.
IPO Details and Use of Proceeds
The Wagons Learning IPO comprises a fresh issue of 30,80,000 equity shares, totaling approximately ₹25.26 crore, alongside an offer-for-sale of 13.12 crore equity shares by promoters and their group. The net proceeds from this IPO will be allocated toward:
- Meeting working capital requirements
- Settling existing debts
- Covering general corporate expenses
Leadership Insights
Uday Jagannath Shetty, the Chairman & CEO of Wagons Learning, expressed optimism about the IPO: “This offering is a pivotal step in our growth trajectory. It will empower us to enhance our operations, expand internationally, and launch B2C education initiatives with certification programs that meet industry standards. With a solid foundation based on client trust and a commitment to excellence, we are poised for significant growth.”
Key IPO Management
Wagons Learning has enlisted Khandwala Securities Ltd as the lead book-running manager for the IPO, while Cameo Corporate Services Ltd serves as the registrar. Rikhav Securities Ltd has been appointed as the market maker for this offering.
Current Grey Market Premium
As of today, the grey market premium (GMP) for Wagons Learning IPO stands at ₹0, indicating that shares are trading at their issue price of ₹82 with no premium or discount, as per investorgain.com. This metric reflects investor sentiment regarding the offering.
In summary, Wagons Learning Limited’s IPO presents an exciting opportunity for investors looking to be part of a growing company in the corporate training landscape. With a clear expansion strategy and solid financial performance, this IPO could signal a promising investment.
