Seshaasai Technologies Ltd (MAINBOARD)

Seshaasai Technologies IPO Details

Company Financials (In ₹Crores)

Peer Comparision

The Company does not have any listed peers.

Company Overview

Established in 1993, Seshaasai Technologies Limited is a multi-location, technology-focused solutions provider with a core specialization in serving the Banking, Financial Services, and Insurance (BFSI) sector. The company delivers scalable, recurring solutions through its proprietary technology platforms across payment solutions, communications, and fulfillment services.

Market Leadership & Certifications
Seshaasai holds a dominant position in its core markets:

• Payment Cards: A leading manufacturer with a 34.5% market share in credit and debit card issuance for Fiscal 2024.

• Cheque Leaves: Ranked as one of the largest manufacturers of cheque leaves in India.

• Certifications: All 24 manufacturing units are certified by global payment schemes, NPCI, PCI, and IBA, ensuring compliance with the highest standards of IT, cyber, and physical security.

Business Operations & Services
The company's operations are divided into three key verticals:

1. Payment Solutions: Provides payment instruments including debit, credit, prepaid, and transit cards, wearables, merchant QR codes, cheques, and secure transaction stationery for banks and fintech companies.

2. Communication and Fulfillment Solutions: Offers omni-channel communication solutions via its Rubic platform, delivering both print and digital services for compliance communications, account statements, and customer requests.

3. IoT Solutions: Delivers IoT-powered RFID and NFC solutions (tags, labels, readers) to optimize supply chains, ensure product authenticity, and provide real-time data for retail, manufacturing, and logistics sectors.

Proprietary Technology Platforms
Seshaasai's operations are powered by its own advanced tech stack:

• RUBIC: A data processing platform for personalizing outputs and enabling secure communications and IoT solutions.

• eTaTrak: An AI-driven logistics solution for real-time delivery tracking and precise billing.

• IOMS: A web-based order and inventory management system that streamlines ordering and reduces costs.

Manufacturing & Workforce

• Manufacturing Network: Operates 24 self-sustaining manufacturing units across seven locations in India, equipped with advanced machinery and a skilled workforce.

• Employee Strength: As of November 30, 2024, the company has 817 permanent employees.
  Objects of the Issue (Seshaasai Technologies IPO Objectives)

  The Company proposes to utilise the Net Proceeds from the Fresh Issue towards funding the following objects:

  1. Funding capital expenditure for the expansion of existing manufacturing units.

  2. Repayment and / or prepayment, in part or in full, of certain outstanding borrowings of the Company.

  3. General corporate purposes

Strength

Leadership in a Regulated Sector: A well-established leader in the high-barrier payment solutions industry.

Deep Customer Relationships: Long-standing relationships with a vast customer base across BFSI.

Comprehensive Portfolio: A full suite of customizable and scalable solutions.

Weakness

High client concentration risk – The company derives a large portion of its revenues from a limited number of customers; loss or reduction of business from these key clients may significantly impact revenues and profitability.

Dependence on limited industry verticals – Revenues are concentrated in a few sectors; any slowdown or reduced demand in these verticals could adversely affect overall business performance.

Contractual and compliance obligations – Customer contracts involve stringent compliance requirements; any failure to adhere may result in penalties, termination of contracts, and reputational as well as financial damage.