Earthood Services has submitted a draft document to SEBI, the market watchdog, seeking to raise capital through an IPO.
For clients in India and abroad, the Gurugram-based services company specializes in offering Environmental, Social, and Governance (ESG) advisory and assurance services.
IPO size and structure
In its proposed initial public offering (IPO), the company will issue 36 lakh equity shares and allow promoters to sell up to 42 lakh equity shares. The Draft Red Herring Prospectus (DRHP), which was submitted on Thursday, states that the offer also entails a subscription reservation made by qualified employees.
Pre–IPO placement
The business might think about obtaining Rs 10 crore through a pre-IPO placement round. The size of the new issue will be decreased after the placement is finished.
Use of IPO proceeds
The Rs 30 crore in proceeds from the new issue will go toward meeting the funding needs for enhancing technological capabilities.
Although ESG services are Earthood’s main focus, a smaller portion of its activities also includes advisory support for the establishment and promotion of Farmer Producer Organizations (FPOs), which are businesses owned and run by farmers.
Company previous projects
The company’s noteworthy projects over the years include completing environmental audits for the Indian Army’s Pulgaon military railway station and certifying Delhi Metro Rail Corporation’s Metro Bhawan as carbon neutral, both of which produced practical suggestions to lower CO2 emissions.
Book running lead manager and registrar
The issue’s only book-running lead manager is Unistone Capital. It is suggested that the NSE and BSE list the equity shares.
Company financials
Profit after tax increased by 80.11 per cent to Rs 19.34 crore in fiscal 2024 from Rs 10.73 crore in fiscal 2023, and the company’s operating revenue increased by 44.46 per cent to Rs 46.79 crore in fiscal 2024 from Rs 32.39 crore in fiscal 2023.
