DAM Capital files draft papers with SEBI; Promoter, RBL Bank, others to divest stake in OFS

DAM Capital Advisors Limited has filed its draft red herring prospectus (DRHP) with the capital market regulator, Securities and Exchange Board of India (SEBI), for an initial public offering (IPO).

A comprehensive variety of financial solutions is offered by DAM Capital in the domains of institutional equities, which includes research and broking, and investment banking, which includes equity capital markets, mergers and acquisitions, private equity, and structured finance advising.

Among its peers, DAM Capital has the best profit margin in Fiscal 2024 and is the investment bank with the quickest rate of growth in India based on revenue CAGR from fiscals 2022 to 2024. Based on the quantity of IPOs and QIPs in fiscal 2024, it held a 12.1% market share, making it one of the top investment banks in India.

DAM Capital IPO

The company’s initial public offering comprises an offer for sale of up to 3.2 crore equity shares by the investor selling shareholders – Multiples Alternate Asset Management, RBL Bank, Easyaccess Financial Services and Narotam Sekhsaria. Promoter Dharmesh Anil Mehta, is also selling a small part of his stake.

The IPO has Nuvama Wealth Management Ltd as the Book Running Lead Manager.

As per the DRHP, the company's listed peers are ICICI Securities Ltd (with a P/E of 15.40), IIFL Securities Ltd (with a P/E of 16.68), JM Financial Ltd (with a P/E of 21.43), and Motilal Oswal Financial Services Ltd (with a P/E of 16.94).

DAM Capital's total income for the fiscals 2024, 2023, and 2022 stood at ₹182 crore, ₹85.04 crore, and ₹94.51 crore, respectively, showing a 38.77% CAGR over the same period. The company's profit after tax for fiscals 2024, 2023, and 2022 was Rs70.52 crore, ₹8.67 crore, and ₹21.9 crore, respectively, representing a 79.46% CAGR over the same period.

As of July 31, 2024, DAM Capital's team comprises 115 employees involved in executing transactions across product lines and sectors, bringing a wealth of experience to the business.

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