Winny Immigration & Education Services coming with IPO to raise Rs 9.13 crore

Winny Immigration & Education Services

• Winny Immigration & Education Services is coming out with an initial public offering (IPO) of 6,52,000 equity shares of face value of Rs 10 each for cash at a fixed price of Rs 140 per equity share. 
• The issue will open for subscription on June 20, 2024 and will close on June 24, 2024.
• The shares will be listed on NSE Emerge Platform.
• The share is priced at 14.00 times higher to its face value of Rs 10.
• Book running lead manager to the issue is Interactive Financial Services.
• Compliance Officer for the issue is Ishita Shah.

Profile of the company

Winny Immigration and Education Services is mainly in the visa consultancy business. In the company it provides assistance (Service) to individual for study, travel, work, business and migration purpose. As the world becomes increasingly interconnected, the demand for skilled professionals, students, and travelers to cross borders has surged and it has seized this opportunity to expand its business by providing guidance in the complex process of obtaining visa’s for different purposes in current era. It has successfully assisted thousands of clients in navigating the complex immigration and visa processes. By providing Visa consultancy, it is playing pivotal role in facilitating global mobility and connecting individuals with international opportunities. With extensive experience spanning decades, network of 12 strategically located offices (9 Branches, 2 Franchisees and 1 Virtual office), and a dedicated team of over 100 professionals, it has effectively guided over many clients through the intricate procedures of immigration and visa. The array of services provided by Winny encompasses visa guidance, immigration assistance, and documentation services.

The primary objective of the company is to streamline the visa application process for its clients. It is providing consultancy services: Training for Language Proficiency Examinations; Consulting and processing a range of Temporary Residence Visas; and Consulting and processing Permanent Residency Visas. Its majority clients choose to migrate in USA, Canada, Australia, New Zealand, UK and Europe. Its team comprises seasoned immigration and education consultants. In entire process, it is committed to transparency in all its processes, ensuring its clients are well-informed at every stage. In one roof of its organization, its clientele receive end to end services starting from English proficiency exams coaching, immigration process, post visa procedures, post landing services like helping the clients for Airport pick up and arrangement of temporary accommodation by providing references of its clients already settled in destination countries.

Proceed is being used for:

• Opening of new offices in India 
• Software development 
• Repayment of debt 
• Branding and advertisement 
• General corporate purpose 
• Meeting public issue expenses

Industry overview

India is blessed with abundant talent and skills that can be utilized in the global workplace. Its people increasingly travel abroad, whether it is in the quest for education, the search for work or the execution of services. At the same time, travellers and tourists from India have also increased, reflecting its growing interest in other countries and regions.

The Ministry of External Affairs has the responsibility for issuing Passports to Indian citizens. It also renews Passports to those living abroad, while rendering other Consular services that are required for their livelihood and education. Since 2014, it has been the Government’s priority to make it easier for the average Indian to obtain and renew Passports, both at home and abroad. This has been done through a series of reforms across the entire chain, starting with more centres for application, easier paper work, faster processing and more efficient delivery.

Indians abroad, whether on a longer-term stay or a short duration visit, are a special responsibility for the Government. It has again been the approach of the Modi Government that it must reach out to Indians in distress, however difficult the circumstances. Sometimes, this has been demonstrated dramatically through rescue and relief operations. But the day-to-day processes to assist Indians are even more important, precisely because they apply everywhere every day. Expanding resources, reforming their application and changing the mindset and work culture of Embassies abroad have all been part of this change. The usage of digital platforms and tools to this end has been particularly notable.

Pros and strengths

Experienced and knowledgeable team: It has well trained and well-educated staff for its coaching / education department. Along with education it has experienced professional having in depth understanding of immigration laws and regulations, which helps the company to achieve good success ration in its Visa procedure for its clients. It stays abreast of changes in immigration policies and visa norms and always remains informed about global trends. Its specialized knowledge in handling various visa categories, residency, and immigration ensures a smooth experience for its clients.

Customization expertise: It offers individualized advice and guidance tailored to each client's circumstances and goals. Providing all-encompassing services that address specific challenges or requirements is consistently appealing to every client. Customizing application strategies to fulfill the distinct needs of each individual is the key reason why its clients refer it to their friends and relatives.

Technology integration: It has well equipped infrastructure for its clients, which includes advanced classrooms, online lectures, online meetings for doubts solving and client interaction. It also leverages technology for document submission, verification, and communication. It also offers online platforms for clients to track the progress of their cases and access information.

Risks and concerns

Heavily reliant on revenue generated from immigration services: The company's financial performance is heavily reliant on revenue generated from immigration services, particularly those related to Permanent Residency (PR) applications in Canada. Out of its total Revenue, 90.00% in FY 2021-22, 82.00% in FY 2022-23 and 39.00% in FY 2023-24, has been generated from the services provided by the Company to the candidates who want services like Immigrate, Family classes for Canada. Immigration Services for the Canada is the major sources of revenue for its organisation. Changes in immigration policies, regulations, or quotas by the Canadian government could impact the demand for its services or restrict its ability to operate effectively. Economic downturns or changes in economic conditions in Canada could reduce the number of individuals seeking immigration services, thereby affecting its revenue stream. Hence, changes of government policies of Canada in the immigration services sector could erode its market share and revenue.

Changes in the foreign Policy on VISA and Immigration: Any political changes in the government of a foreign country may lead to the changes in the Immigration policy and Visa issue policy of that particular country. Government may change policy with regards to PR, Citizenship, students visa etc. This policy may have significant effect on its Business. If any its foreign government policy is to prioritised the citizen of its own country, then they may frame the strict rules for Citizenship and immigration. In such event its business, revenue and profitability will be adversely affected.

Maximum revenue is generated from Gujarat: The head office of the Company is in the state of Gujarat and the four branches out of eight branches are also located in Gujarat. The two franchises are also operated from the state of Gujarat. Because of that the business generated by the company is from the state of Gujarat. The revenue from the Gujarat was 89.40% and 85.08% for the Financial Year 2024, 2023 and 2022 respectively of the total income of the Company. The majority clients are from the state of Gujarat and if any adverse situation arises in the State of Gujarat, the business of the company will be affected, and it will result into loss of revenue and the profitability and the cash flow of the Company affect adversely.

Outlook

Winny Immigration & Education Services is mainly engaged in the business of providing service relating to Immigration, Visa and Coaching etc. It provides assistance (Service) to individual for study, travel, work, business and migration purpose. As the world becomes increasingly interconnected, the demand for skilled professionals, students, and travelers to cross borders has surged and it has seized this opportunity to expand its business by providing guidance in the complex process of obtaining visa’s for different purposes in current era. On the concern side, it face significant competition in its business from organized and unorganized service providers in the field of Immigration and coaching for IELTS, CELPIP, PTE, TOFEL. It operates in a highly competitive business environment. Growing competition in the domestic market from domestic organized and unorganized players, it is subject to pricing pressures and requires it to reduce the prices of its services in order to retain the existing customers and/or attract new customers, which may have a material adverse effect on its revenues and margins.

The company is coming out with an IPO of 6,52,000 equity shares of face value of Rs 10 each for cash at a fixed price of Rs 140 per equity share to mobilize Rs 9.13 crore. On performance front, In the F.Y. 2023-24, the company’s total revenue was Rs 1,080.69 lakh, which is decreased by 8.21% in compare to total Income from operations of Rs 998.81 lakh in F.Y. 2022-23. Profit after tax is Rs 39.27 lakh for the F.Y. 2023-24 in compared to Rs 144.71 lakh in F.Y. 2022-23. Meanwhile, the immigration industry is technologically advanced, and while it is currently well-equipped, it is committed to further investing in technology. This investment aims to streamline processes, secure client data, and improve communication. Its focus on technology update is not only to attract more clients but also to ensure data security, facilitate faster transactions, and provide consultations in remote areas.