News

Dev Accelerator Files Draft Red Herring Prospectus for IPO

• ByStartupStory     |    October 2, 2024

Dev Accelerator, operating under the brand name DevX, has filed the draft red herring prospectus (DRHP) for its initial public offering (IPO) on Monday. The company plans to sell a total of 2.47 crore shares through a fresh issue.

The total issue size is “up to 24,700,000 equity shares of a face value of Rs 2,” according to the DRHP, which did not specify the overall amount the company aims to raise. The IPO will consist solely of a fresh issue of shares, with no offer-for-sale component noted in the draft papers.

Pantomath Capital Advisors Pvt. will serve as the bookrunning lead manager for the issue, while KFIN Technologies Ltd. will be the registrar.

DevX, the largest office space provider in Gujarat, intends to utilize the IPO proceeds for capital expenditures related to “fit-outs in the new centres” and “security deposits of the new centres.” The funds will also be allocated for the repayment and/or pre-payment of certain borrowings, including the redemption of non-convertible debentures issued by the company. Additionally, a portion of the proceeds will be used for general corporate purposes.

In the draft document, DevX shared its financial performance for the last three years, reporting revenue of Rs 108 crore in fiscal 2024, Rs 69.9 crore in fiscal 2023, and Rs 30.8 crore in fiscal 2022. The company’s restated profit for the fiscal year ending March 2024 was Rs 44 lakh, following losses of Rs 12.8 crore in fiscal 2023 and Rs 7.5 crore in FY22.

DevX has chosen the IPO route at a time when India’s primary market is thriving, with over 235 companies raising more than Rs 71,000 crore this year alone.

Follow Startup Story