The end March is just flooding investors of IPO. Its quite natural in a bull market like this. Even small and medium sized companies float IPOs in good market and investors jump to apply. But a good investors job is to go for good issues with good company track records while give the potentially useless issues a miss. This post’s tpoic is Escorp Asset Management Ltd IPO Review.
Escorp Asset Management Ltd IPO Issue Details:
Issue Date: March 31, 2017 – April 6, 2017
Offer Price: Rs. 15 per equity share
Minimum Application: 8000 shares
The issue will be listed on BSE SME. If you do not know the meaning of SME, you may read my post: Focus Lighting And Fixtures Ltd IPO Review – Decent Gains Expected. Both BSE and NSE has platform for SME companies.
Objective of the IPO: To part finance companies debts and general corpus needs.
About the company:
Escorp Asset Management is engaged in research, personal finance, tax planning, fund management, treasury fund management and portfolio management. The company started their operations on 2011 and the promoters of the company are Aryaman Financial Services Limited and Shri Sripal Shah and Shri Shreyas Shah.
Now lets see the financials of the company. Check the image below:
So, its obvious from the financial data that there is little or negligible performance done by the company in the past years. Only in the first 6 months of FY 2017 Escorp has managed to post a turnover of 9.74 lacs vis-a-vis a profit of Rs. 2.99 lacs.
So, what is my decision in Escorp Asset Management Ltd IPO Review? The promoter company Aryaman Financial Services is listed in BSE and now quoting at Rs. 27. But there is not much information available about the company Escorp Asset Management. Due to little or no information, negligible financial data and no clear vision I suggest not to subscribe to this IPO.