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Deal Flow – 09/02: SBI Life Insurance exits (Sequoia, Nalanda, Fidelity, SAIF Partners backed) Justdial

Here is the “Deal Flow (Summary of Bulk & Block Deals)” of the data that is revealed in the markets. This has been collated and curated to make trade-able sense.

A Bulk Deal is a trade, where total quantity bought or sold is more than 0.5% of the number of equity shares of the company. A trade, with a minimum quantity of 5,00,000 shares or minimum value of Rs.5 crore executed through a single transaction on this separate window of the stock exchange will constitute a Block Deal.

Deal_Flow_09_February_2016

Justdial

Justdial is an Indian company providing pan-India search services via the Phone, Web, Mobile and SMS. The service represents a large classifieds service where users can call a common number to request a human operator what products or services they are looking for. The available, listed businesses are then communicated to the users by Email or SMS.

No one here is not familiar with this company. It made news when Amitabh Bachchan decided to endorse the brand. It was also one of first Tech companies to make an IPO debut in India.

In May 2013, Justdial went public on May 20 at a price between Rs. 897-898. Out of 17.5 million shares, 13.5 million shares were offered to the public and 3,936,925 shares have been subscribed to by 15 Anchor Investors at Rs 530 per equity share, for a total of around Rs 208.65 crore.

FlashBack to the IPO

Indian search firm Just Dial Ltd. on (20-May-13) successfully closed its initial public offering, by getting bids for twice as many shares as it was offering to sell.

The deal is notable for two reasons. Firstly, the numbers: The $173 million-share sale is only the third successful IPO on India’s major stock exchanges in 2013.

Secondly, one of the beneficiaries: Bollywood icon Amitabh Bachchan, who has owned 62,794 shares, or 0.1% of Just Dial, since February 2011. His investment would be worth as much as 34 million rupees ($615,249). Meaning, he has made a theoretical profit of 33.5 million rupees ($603,048).

That’s probably peanuts for Mr. Bachchan in sheer amount, but his return would be a neat 54 times his original investment.

Just Dial’s IPO will allow the company’s existing investors like Sequoia Capital, SAIF Partners and Tiger Global to sell a part of their stake, according to the IPO prospectus.

Here is the current stock status along with the results

Justdial reported 16% decline in NP at Rs 27 crore for the October-December quarter of the current fiscal due to a sharp increase in expenses. The company had reported a NP of Rs 32 crore in the same quarter a year ago.

Justdial’s total income from operations grew 10.95% to Rs 171.3 crore in the quarter under review against Rs 154.4 crore a year ago. Its overall expenses stood at Rs 142 crore, up 28.6%, compared with Rs 110.4 crore in the third quarter of the previous fiscal.

 JustDial_SharePrice

SBI Life Insurance – sold 384,768 shares or 0.54%.

The current investors in Justdial include – 1 VC (Sequoia Capital), 36 Mutual Fund houses and over 142 Foreign Portfolio Investors

Sequoia Capital India – holds 2,995,123 shares or 4.25% as of 31-Dec-15.

Sequoia Capital had invested through multiple funds such as Sequoia Capital India Growth Investment Holdings I, Sequoia Capital India Growth Investments II and Sequoia Capital India Investments III with a total of 12,842,546 shares or 18.38%

Sequoia led by Shailendra Jit Singh – Non- Independent, Non-Executive Director has apparently invested 305 cr in 2012 and 40 cr in 2009 (we only have data of 2/4 investments made through 3 funds)

Other Sequoia invested companies are (as of year ending 2012) Accelyst Solutions, Druva Software, Flight Raja Travels, Free Culture PTE, Practo Technologies, Mu Sigma, Pine Labs, SCIOinspire, Sequoia Capital India Advisors, and Sourcebits PTE.


 Check out the Deal Flow for the other days:

Deal Flow – 08/02: Decent Financial Services sells Cantabil Retail India, Ashoka PTE sells Heidelberg Cement to First State Investments, Anvil Fin Trade sells Precision Camshafts and IntraSoft Technologies gets traded

Deal Flow – 05/02: Stichting Pensioen Fonds ABP sells Crompton Greaves and Dhwaja Shares & Securities sells Ucal Fuel Systems

Deal Flow – 02/02: UBS buys Housing Development and Infrastructure, Franklin Templeton MF buys Heidelberg Cement (CM Outlier) and Mentor Capital buys R.P.P. Infra Projects

Deal Flow – 01/02: Vijay Kishanlal Kedia buys into Speciality Restaurants and Wallfort Financial Services sells Patel Integrated Logistics

Deal Flow – 29/01: Dilipkumar Lakhi – the CEO of Lakhi Group buys 1.35% in TRF Limited (A Tata Enterprise)

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Disclaimer

Nothing in this newsletter is financial advice and should not be construed as such. Please do not take trading decisions based solely on the matter above; if you do, it is entirely at your own risk without any liability to Capital Mind. This is educational or informational matt
er only, and is provided as an opinion. 

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