DreamFolks Services Rs 560 crore IPO debut on Sep 6: What you need to know before applying for shares

Airport service aggregator company DreamFolks Services' IPO process to raise Rs 560 crore will begin on August 24 and end on August 26. Each share price ranges from Rs 308 to Rs 326 and the company is looking to sell 1.72 crore shares. 

1. The important details:

1. The public can subscribe to the shares from August 24, 2022.  
2. The subscription period closes on August 26, 2022.
3. DreamFolks will allot shares on September 1, 2022.
4. If you don't get allotted shares, you will get a refund by September 2, 2022.
5. If you are lucky to get the shares, it will be credited to your Demat account by September 5, 2022.
6. IPO lists on the stock market on September 6, 2022.
7. Dreamfolks intends to raise Rs 560 crore entirely through an offer-for-sale of up to Rs 1.72 crore shares.
8. The per share price will range between Rs 308 to 326. Since one can buy in lots and 1 lot equals 46 shares in this IPO, an applicant will have to spend somewhere between Rs 14,168 to Rs 15,000 for each lot. You can buy a maximum of 13 lots worth Rs 1.96 lakh since you can invest a maximum of Rs 2 lakhs. 

2. The IPO shares details:

• DreamFolks will raise Rs 560 crore from this IPO by selling shares held by previous owners- Liberatha Peter Kallat, Dinesh Nagpal, and Mukesh Yadav. 
• 75% of the IPO quota is reserved for Qualified Institutional Buyers (QIB) ie banks and mutual funds, 15% is reserved for High Net-worth Individuals (HNIs) and 10% is for us ie retail category investors. Of the 75% reserved for QIBs, 60% quota is reserved for anchor investors. 
• The public issue will be 33% of the post-offer paid-up equity share capital of the company.

3. What will DreamFolks do with the IPO money? Since this is an offer for sale, the IPO money will go to shareholders that are selling their shares. The only benefit for the company will be that the shares will now be listed and can be traded by a wider audience. This gives the company a chance to enhance visibility, brand image and provide liquidity to the shareholders.  

4. What does DreamFolks do? DreamFolks is an airport service aggregator company. It provides a host of services that makes your airport experience travel-worthy. It started off in 2013 by facilitating lounge access services for consumers of Mastercard. But now it provides services to all the card networks operating in India. As of March 2022, it had 50 clients including the card networks and many of India's prominent card issuers. 

This includes services like: 

1. Lounge Access where DreamFolks gives you access to a network of operational airport lounges in India and across the globe.
2. F&B Offerings where DreamFolks facilitates access to restaurants and F&B outlets at airports. 
3. Spa services where DreamFolks helps you get the massage therapies at airports
4. Transit Hotels where DreamFolks gives you access to sleep pods or nap rooms
5. Airport Transfer Services and more.

5. Business influences:

• DreamFolks has tie-ups with various banks and card network systems like Visa, Master Card, RuPay since the business depends on the issue and circulation of debit and credit cards. 
• Since the company falls under the Global Aviation Sector, its business went down during the pandemic. But now that global economies are recovering, the business is priming back.  
• DreamFolks claims to enjoy a market share of over 95% of all India-issued credit card and debit card access to airport lounges in FY22. 

6. Finances: Here's what the important financial figures look like: