SoftTech Engineers Limited (STEL) is a software company which caters to the AEC (“Architecture, Engineering and Construction”) verticals. It is Pune based company. STEL is in process of getting listed in the primary markets through an IPO process. I have checked the draft red herring prospectus for getting an idea on the issue details to post our SoftTech Engineers Limited IPO Review for you.
About SoftTech Engineers Limited IPO :
- IPO Opens on – April 27, 2018.
- IPO Closes on – May 3, 2018.
- Face Value – Rs. 10 Per Equity Share.
- Issue Price – Rs. 78 – Rs. 80 Per Equity Share.
- Issue Type – Book Built Issue IPO.
- Market Lot – 1600 Shares.
- Minimum Order Quantity – 1600 Shares.
- Issue Size – 2,851,200 Equity Shares of Rs 10 aggregating up to Rs 22.81 Cr.
- Listing Exchange – NSE SME Exchange.
- Draft Prospectus – Click Here.
Objectives of the issue:
- Product development and enhancement costs.
- Funding of the domestic and international product penetration and marketing costs.
- Repayment and also pre-payment of various unsecured borrowings availed by STEL.
- General corporate purposes.
About The Company –
- SoftTech Engineers Limited is incorporated in 1996.
- This company specializes in developing the product for e-governance and construction ERP products for smart city projects, municipal corporations, urban local bodies, development authorities and work organizations.
- SoftTech Engineers Limited is also offering 2D and 3D CAD based intelligent and machine learning driven technology which eliminates entire human intervention along with providing Cloud Technology enabled products offered as “SaaS”.
- This company started by launching its first product – STRUDS in the year 1996, which was used for Structural Analysis and Designing.
- SoftTech Engineers Limited has launched another product, ESRGSR, which was also used on the same line. STRUDS and ESR GSR were acquired in the year 2011 by CSC (UK) Limited.
- This company also launched two new products viz., PWIMS and AutoDCR which have been the flagship products of the company.
- PWIMS is actually providing a complete online solution to the Public Works Department (PWD) for online procurement and also for work management.
- AutoDCR is a software for automation of building permits approvals which is used by the government authorities in scrutinizing and automating the building permits based on the CAD-based building plan which works on an online system and environment.
- Riding on the success of these products, the company in the year 2010 launched, OPTICON which caters to the needs of construction contractors and real estate companies by helping them in cost estimating, construction management and overall automation.
- This company has 433 employees working at its registered office and other client places.
Promoters of the company :
Mr. Vijay Gupta, aged 44 years, is the sole Promoter, Chairman and Managing Director of this company.
SoftTech Engineers Limited IPO Review: Strong profits and financials are the main advantage for the investors willing to invest into STEL. As per the last financial year’s data, the earnings per share are at 8.75 which is considered to be good and the PE ratio is at 9.14 which is considered to be lower among the peers. Hence, our SoftTech Engineers Limited IPO Review has a POSITIVE view on this new issue. We suggest investing in STEL with a long-term view.