The committee of Directors in its meeting held in Chennai today has to decided to open the QIP (Qualified Institutional Placement) Issue of Chennai based Education Services Company, EdServ Softsystems (EdServ) this Friday (9th July 2010). The minimum floor price for the QIP Issue has been fixed at Rs.205 per share, heigher than the price calculated as per SEBI (ICDR) Regulation 2009. The committee shall decide on the closing date in cunsultation with the Lead Managers in due course.
Commenting on the utilisation of funds, S. Giridharan, Chairman and CEO, EdServ said, The proceeds of the QIP issue will be utilised to fund the companys plans in the Schools segment where it is investing in several schools this year, its new LAMPSGLOW online web super store education business model, its Infrastructure expansion and towards expanding its presence Pan India in the Higher Education and Career Placement segments.
Through its Vidhyadhana Academy, EdServ will implement Learning Management Systems, School & Student Management Systems and Fun filled learning Systems with Gaming Solutions to achieve higher standards of student learning and performance. Vidhyadhana Academy will invest in technology providing well equipped Labs, LCD TVs in each class-room, administrative and student management software making these schools hi-tech. In addition, EdServ would also invest in infrastructural improvement of schools by building additional classrooms in order to accommodate the expandable capacity year on year.
Vidhyadhana Academy will also introduce Automated Learning and Assessment method that will ensure that the students learning curve is tracked and analysed for improved learning and performance as they move into higher classes.
EdServs ended FY10 with revenues of Rs.52.12crores and Net Profit of Rs.18.02crores. The company had achieved an EPS (Earnings per Share) of Rs.15.01.