Blume
Blume Podcast Season 4
Commentary

How have Tech companies which listed with less than Rs 5000Cr Market Cap performed?

Published
Reading Time
1 minute
Slide titled ‘How have Tech Companies which listed with <5000Cr Mcap performed?,’ describing a cover slide with Blume branding and authors Vikram Gavande and Dhagash Shah, highlighting report introduction.

Last month, I published an article about the ability of startups to build valuable companies even without a billion-dollar public market debut. The logical next question is — how have these tech companies, which IPOd at less than Rs 5000Cr market cap, performed? 

Since we have already worked on the India Technology Index, we decided to take a slice of that Index and evaluate companies that IPOd with a market cap between 500 – 5000Cr. Many interesting patterns emerged; some of them are below. Please refer to the complete drill-down report here.

PAT growth > EBITDA growth > Revenue growth

Slide titled ‘Robust Fundamentals Leading to Hefty Market Cap Gains Since IPO,’ describing bar charts and line graphs comparing revenue, EBITDA, PAT, and market cap growth, highlighting performance trends.

Companies come back to Public markets to raise/​return capital post-IPO

Slide titled ‘Listing Does Not Mean An End to Fund Raising,’ describing a table of companies with columns such as QIP, preferential issue, and buybacks, highlighting post-listing capital strategies.

Buying into growth — With high PAT growth, the PE multiples get rationalized.

Slide titled ‘Indiamart Intermesh Ltd (contd.),’ describing bar charts comparing revenue, EBITDA, PAT, and free cash flow growth along with market cap trajectory and key ratios, highlighting post-listing performance.

IPO preparation starts much in advance - These companies made their key hires multiple years ahead of the IPO date

Slide showing Indiamart’s founding team and key managerial personnel including Dinesh Agarwal (Founder & CEO), Brijesh Agrawal (Co-founder & Director), Dinesh Gulati (Chief Operating Officer), Prateek Chandra (Chief Financial Officer), Amardeep Singh (Chief Product Officer), and Manoj Bhargava (Company Secretary), along with years of experience and role descriptions, highlighting leadership structure and management composition.
Slide showing Affle’s founding team and key managerial personnel including Anuj Khanna Sohum (Founder & CEO), Anuj Kumar (Co-founder, Chief Revenue & Operating Officer), Kapil Bhatia (Chief Financial & Operations Officer), Charles Wong (Chief Architect & Technology Officer), Vipul Kedia (Chief Data Platforms Officer), and Pramita Choudhury (Company Secretary & Compliance Officer), along with years of experience and role details, highlighting leadership structure and organizational roles.

Author

  • Profile photo of Vikram Gawande

    Vikram Gawande

    Vikram takes care of growth investments at Blume. He has 16+ years of experience across Technology, Consumer Internet and Venture Investments.He has spent more than a decade in the startup world, both as an entrepreneur and an…
    Current Section
    Director, Growth Investment

On this topic

Commentaries

  • Slide titled ‘India Technology Index,’ describing a blue-themed header slide with Blume branding with date November 2023 and authors Vikram Gavande, Dhagash Shah, and Sarvesh Agrawal, highlighting report introduction

    India Technology Index | November 2023

    We at Blume invest in private Tech and Tech-Enabled companies riding fundamental Technology catalysts. Over the last decade, the Internet has been one such major catalyst. As companies from this cohort grew and wanted to build…
    Current Section
    Commentary
    Authors
    Vikram Gawande, Dhagash Shah
    Published

  • PART I: Keep Calm And Go All The Way To The IPO Bell (At Least In Your Head)

    Every year, for the past 8 years, I have got the same question a few minutes into every LP meeting (LPs or Limited Partners are the financial investors who give funds such as Blume the capital to invest into startups). “Where are…
    Current Section
    Commentary
    Authors
    Karthik Reddy
    Published