About the Company:
Crizac Limited is a Kolkata-based education services company with a global presence through its subsidiary, Crizac UK. Originally incorporated in 2011 as GA Educational Services, the company underwent multiple transformations before adopting the Crizac brand. Today, it operates as a tech-enabled education consulting platform, offering test preparation, university admissions services, and career counselling for students pursuing international education.
The company primarily caters to Indian students aspiring for overseas education in countries such as the UK, US, Canada, Australia, and Ireland. Crizac has scaled its operations across India and the UK through its asset-light model, strategic partnerships, and digital tools that improve counselling, admissions, and student onboarding processes. The acquisition of Crizac UK in November 2023 further strengthened its international presence and provided access to valuable B2B relationships with foreign universities and institutions.
IPO Details:
Particulars | Details |
IPO Date | July 2 2025 – July 4 2025 |
Issue Type | Book Built Issue |
Tentative Listing Date | July 9, 2025 |
Face Value | ₹2 per share |
Price Band | ₹233 - ₹245 per share |
Lot Size | 61 shares |
Minimum Retail Investment | ₹14,945 |
Issue Size | ₹860 Crore (100% Offer for Sale) |
Post-Issue Market Cap | ₹4,287 Crore (at upper price band) |
Objects of the Offer:
The IPO is a 100% Offer for Sale (OFS), Crizac Limited will not receive any proceeds from the IPO, as the funds go to the selling shareholders. The objectives include:
- Providing an exit for promoters.
- Enhancing the company’s visibility and brand equity through public listing.
Key Strengths and Opportunities:
- Expanding & Deepening Agent Network Globally
Crizac has built a strong agent-led distribution model with over 10,362 registered agents and 3,948 active agents across 39 countries. The company plans to deepen ties with existing agents and expand across Asia (excluding India), Africa and Latin America targeting key outbound student markets. - Geographical Diversification & University Tie-Ups
Crizac is expanding its global university partnerships, particularly in Ireland, Canada, Australia–New Zealand (ANZ) and the United States. This move is expected to enhance its service portfolio and visibility among both students and institutions. - Service Diversification Beyond Admissions
The company aims to become a full-service provider by offering value-added services such as student loans, forex, visa assistance, and accommodation support. These ancillary services will increase wallet share and deepen customer relationships. - Inorganic Growth and B2C Expansion
Crizac intends to enter the B2C model by acquiring companies that allow it to directly engage with students, bypassing agent dependency. This strategic shift is designed to improve margins and establish stronger brand recall among end-users. - Enhancing AI-Powered Proprietary Tech Platform
Crizac’s tech stack is a major moat—it is integrated with AI and machine learning to automate application processes, evaluate student fitment, conduct virtual interviews, and deliver scalable student-agent-institution interactions. The platform is also being upgraded to support B2C models and broader service offerings.
Risks:
- Customer Concentration Risk: Crizac is highly dependent on a limited number of global institutions for its revenue. In FY25, the top 3 clients accounted for 85%, and the top 10 accounted for 70.56% of revenue. Loss of even a few key clients could significantly dent financial performance.
- Agent Dependency Risk: The company relies heavily on thousands of third-party agents to drive student enrolments. Any disruption in relationships, misconduct, or underperformance from these agents could hamper student intake and revenue.
- Regulatory and Immigration Risk: Crizac’s operations are directly linked to student visa and immigration policies of foreign governments, especially the UK. Any tightening of visa norms, geopolitical shifts, or restrictions on international students could reduce demand for its services.
- Technology Platform Risk: The business hinges on a proprietary platform that connects students, agents, and institutions. Any system failure, data breach, or cyberattack could paralyze operations, erode trust, and lead to reputational and financial damage.
- Reputational Risk from Fraudulent Activity: Crizac could be implicated in visa fraud or illegal admission processes due to actions by students or agents—even unintentionally. Such accusations could severely harm credibility, trigger legal action, and affect global partnerships.
Financial Snapshot:
Particulars | Unit | FY2025 | FY2024 | FY2023 |
Revenue from Operations | ₹ crore | 849 | 635 | 473 |
Growth in Revenue (%) | % | 34% | 34% | 79% |
Cost of Services | ₹ crore | 599 | 445 | 308 |
Cost of Services as % of Revenue | % | 71% | 70% | 65% |
EBITDA | ₹ crore | 213 | 73 | 107 |
EBITDA Margin | % | 25% | 11% | 23% |
Profit After Tax (PAT) | ₹ crore | 153 | 119 | 112 |
PAT Margin | % | 17% | 16% | 22% |
Return on Equity (ROE) | % | 30% | 35% | 51% |
Operational Metric | Unit | FY2025 | FY2024 | FY2023 |
No. of Student Applications Processed | Number | 275,897 | 262,502 | 172,939 |
No. of Active Agents | Number | 3,948 | 2,532 | 1,819 |
No. of Global Institutions Catered To | Number | 173 | 124 | 111 |
Note: The data presented above is based on Proforma Consolidated Financials, which assume the retrospective acquisition of Crizac UK as of April 1, 2022. This approach enables a consistent, like-for-like comparison across FY23, FY24, and FY25.
Relative Valuation:
Company Name | P/E (x) | P/B (x) | RoNW (%) | Business Model |
Crizac Limited | 28 | 8 | 30% | Education Aggregator |
India Mart Intermesh Ltd | 29 | 7 | 25% | Business Marketplace |
Conclusions:
Crizac Limited operates in a promising sector with strong tailwinds from rising outbound student demand and has built a scalable, tech-enabled platform with a global footprint. However, the IPO is a 100% Offer for Sale, meaning no fresh capital will go into the company. Additionally, high client concentration, reliance on third-party agents, and regulatory risks in key destination countries raise caution. While margins are strong, much of the growth is already factored into the expected valuation, leaving limited upside for new investors.
Recommendation: Avoid this IPO.
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