Saraswati Commercial (India) Limited, a Non-Banking Financial Company (NBFC), has successfully completed its investment in the Initial Public Offering (IPO) of Aditya Infotech Limited, a leading player in the video security and surveillance sector. The investment, made through the anchor category of the IPO, marks a strategic move for Saraswati Commercial in its role as a financial investor.

Investment Details

Saraswati Commercial acquired 192,588 equity shares of Aditya Infotech at a price of Rs 675.00 per share, totaling an investment of Rs 12.99 crore. This acquisition represents a 0.16% stake in Aditya Infotech's post-issue capital. The share allotment was completed on August 1, as confirmed in a regulatory filing by Saraswati Commercial.

About Aditya Infotech

Aditya Infotech Limited, incorporated on March 27, 1995, operates under the brand name 'CP Plus' and offers a comprehensive range of advanced video security and surveillance products, technologies, and solutions for both enterprise and consumer segments. The company has shown impressive financial performance, with a consolidated turnover of Rs 3,111.87 crore for the most recent fiscal year.

IPO Details

Aditya Infotech's IPO, with a total issue size of Rs 1,300.00 crore, has attracted significant interest from investors. The company's strong market position and growth trajectory in the video security sector have likely contributed to the appeal of its public offering.

Financial Performance of Aditya Infotech

Aditya Infotech has demonstrated consistent growth over the past three years:

As of the most recent fiscal year-end, the company reported a consolidated net worth of Rs 1,017.67 crore.

Saraswati Commercial's Investment Strategy

Saraswati Commercial (India) Limited, primarily engaged in investment activities, made this acquisition as part of its normal business operations. The company's regulatory filing emphasized that the investment is in line with its role as a financial investor and exceeds the threshold specified in SEBI regulations for material events requiring disclosure.

This investment by Saraswati Commercial in Aditya Infotech's IPO underscores the attractiveness of the video security and surveillance sector to financial investors. As the demand for advanced security solutions continues to grow, companies like Aditya Infotech are well-positioned to capitalize on market opportunities, potentially offering attractive returns for investors like Saraswati Commercial.

Saraswati Commercial (India) Limited , a non-banking financial company (NBFC) specializing in investment activities, has recently made significant moves to expand its investment portfolio. The company has completed a substantial investment in Precision Wires India Limited and announced plans for another strategic investment in Tilaknagar Industries Limited.

Precision Wires India Investment

Saraswati Commercial has successfully acquired 10,00,000 equity shares and 20,00,000 convertible warrants in Precision Wires India Limited through a preferential issue. The company invested Rs 15.10 crore for the equity shares at Rs 151 per share and made an initial payment of Rs 7.55 crore, representing 25% of the total warrant value.

Key details of the transaction include:

Post-acquisition, Saraswati Commercial now holds 1.78% of Precision Wires' diluted share capital. This investment aligns with the company's strategy as a financial investor in its normal course of business.

Precision Wires India, established in 1989, is a manufacturer of copper winding wires and conductors for electrical industries. The company reported a turnover of Rs 4,014.83 crore for the fiscal year ending March 31.

Planned Investment in Tilaknagar Industries

In a separate development, Saraswati Commercial has agreed to invest in the preferential issue of convertible warrants of Tilaknagar Industries Limited. The details of this proposed investment are as follows:

Each warrant is convertible into one equity share of Tilaknagar Industries. Saraswati Commercial will pay 25% of the warrant price upon allotment, with the remaining 75% due at the time of conversion into equity shares.

Tilaknagar Industries, incorporated in 1933, is primarily engaged in the manufacturing and sale of Indian Made Foreign Liquor (IMFL). The company boasts a diverse portfolio of brands across various liquor categories, including brandy, whisky, vodka, gin, and rum. Tilaknagar Industries reported a turnover of Rs 3,174.61 crore for the fiscal year.

Conclusion

These strategic investments by Saraswati Commercial demonstrate the company's commitment to diversifying its investment portfolio across different sectors of the Indian economy. As an NBFC focused on investment activities, these moves are in line with its core business strategy and aim to capitalize on growth opportunities in the manufacturing and spirits industries.