Courtesy: https://www.chittorgarh.com/
Review By Dilip Davda on August 15, 2025
- The company is engaged in providing media related services under one roof.
• It operates on B2B model of business and has a legacy of over four decades.
• The RI is at a marginal discount to its last traded price.
• Based on its recent financial data, the issue is aggressively priced.
• There is no harm in skipping this pricey RI as it’s a “High Risk/Low Return” bet.
ABOUT COMPANY:
Cyber Media India Ltd. (CMIL) is a renowned pioneer in the Indian technology media landscape with a legacy spanning over four decades. Initially known for its print publications, the Company has evolved into a significant player in the B2B technology media sector (business-to-business), offering specialized content, industry insights, and marketing services targeted at the ICT (Information and Communications Technology) sector.
The Company has successfully navigated digital transformation by expanding its offerings to include online news platforms, digital events, and research-driven insights. Additionally, the Company provides digital marketing services and products across various sectors, making it a comprehensive player in the media and marketing space. Its ability to adapt to changing media trends and digital innovations has helped establish the Company as a trusted source for industry professionals and organizations seeking valuable technology-related content and services.
Further, the Company is involved in the print media and publishing industry, producing magazines, e-magazines, online portals, periodic journals, and organizing events and exhibitions. As of August 01, 2025, it had 62 employees on its payroll.
ISSUE DETAILS:
The company is coming out with its Rights Issue (RI) of 6266897 equity shares of Rs. 5.00 each at a fixed price of Rs. 15.80 per share to mobilize Rs. 10.00 cr. The RI has opened for subscription on August 18, 2025, and will close on August 29, 2025. The company is offering RI in the ratio of 2 for 5 to its eligible stakeholders as of the record date of August 01,2025.
The company is asking for 50% money (Rs. 7.90 per share) on application for number of shares applied. Rest money will be called by one or more calls by the company from time to time. Post allotment, shares will be listed on BSE and NSE. The company is spending Rs. 0.39 cr. for this RI process, and from the net proceeds, it will utilize Rs. 3.31 cr. for working capital, Rs. 3.80 cr. for conversion of outstanding loan to equity, and Rs. 2.50 cr. for general corporate purposes.
The RI is lead managed by the company itself, while MUFG Intime India Pvt. Ltd. is the registrar to the issue.
Post RI, company’s current paid-up equity capital of Rs. 15.67 cr. will stand enhanced to Rs. 21.93 cr. Based on the RI pricing, the company is looking for a market cap of Rs. 34.66 cr.
FINANCIAL PERFORMANCE:
On the financial performance front, for the last two fiscals, it has posted a total income/ net profit/ -(loss), of Rs. 104.26 cr. / Rs. 3.40 cr. (FY24), Rs. 87.65 cr. / Rs. – (9.75) cr. (FY25). Thus, its loss-making performance in the pre-RI year that raises concern. It has a total borrowing of Rs. 12+ cr. as of March 31, 2025 also raising alarm. Its NAV turned negative at Rs. – (4.00) for FU25 against Rs. 2.57 of FY24.
DIVIDEND POLICY:
The company has not declared any dividend for the immediately preceding fiscal of the issue. It will adopt a prudent dividend policy, based on its financial performance and future prospects.
SCRIP PERFORMANCE: BASED ON BSE WEBSITE DATA: SCRIP CODE: 532640 (FV Rs. 10).
The scrip last closed on cum-right basis at Rs. 19.64 on July 31, 2025, 2025, and opened on an ex-right basis at Rs. 18.43 on August 01, 2025, 2025. Since then, it has marked a high/low of Rs. 18.43 / Rs. 15.15. The scrip last closed at Rs. 16.42 as of August 14, 2025. For the last 52 weeks’ it has posted a high/low of Rs. 31.52 / Rs. 14.11. The counter is currently under ESM: Stage 1 and GSM: Stage 0.
The promoters’ holding has been constant at 61.79% for the last three quarter ended June 30, 2025, the counter is currently trading just above the RI price to tempt the investors.
Conclusion / Investment Strategy
CMIL is engaged in providing media related services under one roof. It operates on B2B model of business and has a legacy of over four decades. The RI is at a marginal discount to its last traded price. Based on its recent financial data, the issue is aggressively priced. It is operating in a highly competitive and fragmented segment. There is no harm in skipping this pricey RI as it’s a “High Risk/Low Return” bet.
Review By Dilip Davda on August 15, 2025
Review Author
DISCLAIMER: No financial information whatsoever published anywhere here should be construed as an offer to buy or sell securities, or as advice to do so in any way whatsoever. All matter published here is purely for educational and information purposes only and under no circumstances should be used for making investment decisions. My reviews do not cover GMP market and operators game plans. Readers must consult a qualified financial advisor before making any actual investment decisions, based the on information published here. With entry barriers, SEBI wants only well-informed investors to participate in such offers. With crazy listings in the recent past, SME IPOs drew the attention of investors across the board and lead to seer madness. However, as SME issues have entry barriers and continued low preference from the broking community, any reader taking decisions based on any information published here does so entirely at their own risk. The above information is based on information available as of date coupled with market perceptions. The Author has no plans to invest in this offer.
About Dilip Davda
Dilip Davda is veteran journalist associated with stock market since 1978. He is contributing to print and electronic media on stock markets/insurance/finance since 1985.
Dilip Davda is a leading reviewer of public issues and NCDs in the primary stock market in India. The knowledge he gained over 3 decades while working in the stock market and a strong relationship with popular lead managers makes his reviews unique. His detailed fundamental and financial analysis of companies coming up with IPOs helps investors in the primary stock market. Dilip Davda has a special interest in analyzing the SME companies and writing reviews about their public issues. His reviews are regularly published online and in news papers.
(Dilip Davda -SEBI registered Research Analyst-Mumbai,
Registration no. INH000003127 (Perpetual)
Email id: dilip_davda@rediffmail.com ).
Courtesy: https://www.chittorgarh.com/
