You are here: Home » Markets » News
Business Standard

Indiamart Intermesh hits new high on fundraising plan, zooms 54% in a month

The board of directors of the Company is scheduled to meet on Monday, January 18, 2021, to consider raising of funds.

Buzzing stocks | Markets | IndiaMART

SI Reporter  |  Mumbai 

investment, investors, foreign investments, FPI, fdi, emergin markets, funding, tech, economy, gdp, aif, alternative investment fund, capital, startups, tech, savings, money, cash, shares, funds, equity
The company’s revenue and customers have shown a positive recovery trend

Shares of Intermesh hit a new high of Rs 8,239, up 3 per cent on the BSE on Tuesday after the company announced fund raising plans.

The board of directors of the Company is scheduled to meet on Monday, January 18, 2021, to consider raising of funds through issuance of equity shares through qualified institutional placements (QIPs) or through any other permissible mode, subject to applicable laws and necessary shareholder/ regulatory approvals, as applicable, Intermesh said in exchange filing.

The company further said the board will also consider and approve the audited standalone and consolidated financial results of the company for the quarter ended December 31, 2020 (Q3FY21).

is a dominant market leader in the online B2B Classifieds industry. The company banks on increased digital adoption among SMEs that constitute the majority of the sellers on the platform.

In the July-September quarter (Q2FY21), the company’s consolidated EBITDA (earnings before interest, taxes, depreciation, and amortization) more-than-doubled to Rs 82 crore as compared to Rs 36 crore in Q2FY20. Increase in EBITDA margin to 50 per cent in Q2FY21 from 23 per cent in Q2FY20 was primarily driven by sustained, as well as, temporary benefits arising from various cost optimization initiatives undertaken during the last six months.

With the pickup in business activity and increasing realization for online adoption by the small and medium businesses, the company’s revenue and customers have shown a positive recovery trend and helped it to maintain healthy margins as well as cash flows.

In the past one month, the share price of Indiamart Intermesh has zoomed 54 per cent, against 7 per cent gain in the benchmark S&P BSE Sensex. It was trading at its highest level since listing on July 4, 2019. The stock of the internet software & services company has zoomed nearly 750 per cent against its issue price of Rs 973 per share.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Tue, January 12 2021. 10:12 IST