Tuesday, September 8, 2020

Route Mobile IPO opens today: Here are the key things you should know

 

A price band of Rs 345-350 apiece per share has been fixed for the IPO that will conclude on September 11.



The initial public offer (IPO) of Route Mobile, a cloud communications service provider, opens for public subscription today. The company proposes to raise Rs 600 crore through the IPO which comprises fresh issue of shares worth Rs 240 crore and an offer for sale (OFS) of Rs 360 crore by promoters -- Y Sandipkumar Gupta and Rajdipkumar Gupta.

A price band of Rs 345-350 apiece per share has been fixed for the IPO that will conclude on September 11. On Tuesday, the company garnered Rs 180 crore from 15 anchor investors including the likes of Goldman Sachs, Franklin Templeton Mutual Fund, and SBI Life Insurance, among others.

The company proposes to utilise the net proceeds towards funding for repayment or pre-payment, in full or part, of certain borrowings of the company; acquisitions and other strategic initiatives; purchase of office premises in Mumbai; and general corporate purposes.

About the company

Route Mobile is one of the leading providers of cloud-communication platform as a service (CPaaS) to enterprises, over-the-top (OTT) players and mobile network operators (MNOs). It provides voice, email, and omni-channel communication, SMS analytics, firewall, filtering and monetization, SMS hubbing and Instant Virtual Number solutions.

The company is ranked as a tier one application-to-peer (A2P) service provider internationally. Its enterprise solution comprises two primary components – the front-end that provides an interface for enterprises to integrate with, and a back-end which is directly integrated with over 240 MNOs, and provides access to over 800 MNOs across the globe. Its clients include some of the world’s largest organisations. It garners nearly 80.1 per cent of its revenue from exports and 19.9 per cent from India.

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