• 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.
Review By Dilip Davda on August 15, 2025
Dilip Davda is a veteran financial journalist associated with the Indian stock market since 1978. He has been contributing to print and electronic media on capital markets, insurance, and finance since 1985.
He is widely recognized for reviewing public issues and non-convertible debentures (NCDs) in the primary market. Drawing on over three decades of market experience and close interaction with merchant bankers, his reviews focus on detailed fundamental and financial analysis of companies, with a special emphasis on SME public issues.
Dilip Davda
SEBI Registered Research Analyst – Mumbai
Registration No.: INH000003127 (Perpetual)
Email: dilip_davda@rediffmail.com
Disclaimer: The information provided herein is solely for educational and informational purposes and does not constitute an offer, solicitation, or recommendation to buy or sell any securities. Readers are advised to consult a qualified financial advisor before making any investment decisions. Investments in the securities market are subject to market risks. The author does not intend to invest in the securities discussed.
