About the company
S Chand And Company Limited operates as an education content company in India. The company develops and delivers content, solutions, and services in the education K-12, higher education, and early learning segments. It is involved in publishing, printing, sale, purchase, export, and import of various books and other literary work. S Chand And Company Ltd offers 53 consumer brands across knowledge products and services including S.Chand, Vikas, Madhubun, Saraswati, Destination Success and Ignitor. The company also exports its printed and digital content to Asia, the Middle East, Africa, and internationally.
Objects of the Issue
- ŸRepayment of loans availed by the Company and one of its Subsidiaries, EPHL, which were utilized towards funding the acquisition of Chhaya
- ŸRepayment / prepayment, in full or in part, of certain loans availed of by the Company and certain of its Subsidiaries, VPHPLand NSHPL
Considering the P/Bv valuation , on the higher end of the price band of Rs. 670, the stock is priced at P/B ratio of 3.93x on the pre issue book value of Rs.170.60 and on the post issue book value of Rs. 240.42 the P/B comes out to 2.79x.Considering the P/Bv valuation , on the lower end of the price band of Rs. 660, the stock is priced at P/B ratio of 3.87x on the pre issue book value of Rs.170.60and on the post issue book value of Rs. 240.42 the P/B comes out to 2.75x.
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The company delivers content, solutions and services across the education lifecycle through its K-12, higher education and early learning segments with a strong presence in the CBSE/ICSE affiliated schools and increasing presence in the state board affiliated schools across India. The sales seasonality in its K 12 segment materially affects its operating revenue, margins and cash flows from quarter to quarter. Accordingly, as per the management estimates, its operating revenues and margins during the first three Fiscal quarters have typically been lower, compared to the fourth Fiscal quarter. Considering the seasonality of the business, an investor with long term prospect may opt the issue.