India’s DLT-based firm Yudiz Solution moves closer to IPO

Yadiz Solution, an Indian-based firm working in distributed ledger technology (DLT) and artificial intelligence and gaming has indicated its interest in going public, Market Today reported.

Yadiz Solution has reportedly filed papers for an initial public offering (IPO) with the Securities and Exchange Board of India (SEBI) in accordance with the country’s capital market rules. The filing indicates that the IPO will be listed on the National Stock Exchange (NSE) Emerge Platform, an initiative for small and medium-sized enterprises to access funding.

Yadiz Solution says that the amount realized from the IPO will be used to improve its present offerings and upscale its branding and marketing efforts. The company added that it is considering channeling a portion of the funds into acquiring new subsidiaries both in India and abroad to expand its reach.

Draft papers for the IPO reveal that the sale will be comprised wholly of equity shares, a significant portion of the shares earmarked for market makers. 50% of the offer will be reserved for institutional bidders while non-institutional bidders and retail investors will be allocated 15% of each of the net offers.

Yudiz Solution has tapped Narnolia Financial Services to serve as the merchant banker and lead manager for the issue. MAS Services will operate as the registrar of the issue while leading IPO consultants Longview Research & Advisory Services and Pro Legal Solutions were recruited as advisors.

In the event that everything goes according to plan, Yadiz Solution will be the first DLT-based firm to be publicly listed in India’s financial markets. In the gaming industry, Yudiz Solution will be the second to be listed on an exchange after Nazara Technologies went public in 2021.

Analysts have praised Yudiz Solution’s resilience to forge ahead with the IPO in the face of unfavorable macroeconomic sentiments. In 2022, the trio of MobiKwik, PharmEasy, and Snapdeal saw their plans for an IPO scuttled due to market conditions.

Testament of India’s DLT drive

Being the first DLT-based firm to be listed in India’s markets is considered a testament to the rising DLT adoption in the country. The country’s finance minister Nirmala Sitharaman disclosed that India is keen to deploy DLT in various facets of its economy as it targets a near 50% adoption before 2030.

Already, DLT modules are being offered to citizens through the National Institution for Transforming India (NITI Aayog) latest deal with 5ire and the efforts of the India Blockchain Association.

The government of India’s capital New Delhi announced in January that the region will be relying on DLT for criminal investigations while other cities are using the technology to streamline administrative efforts.

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