Specialist in Indian Banking and Economic Research

Hemindra Hazari

Forensic Accounting

<ul>
<li>
<a href="https://www.smartkarma.com/entities/crisil-ltd" target="_blank" data-smartkarma-citation="entities:15699:1" rel="noopener">Crisil Ltd (CRISIL IN)</a> and India Rating Downgrade <a href="https://www.smartkarma.com/entities/ags-transact-technologies" target="_blank" data-smartkarma-citation="entities:23692:1" rel="noopener">AGS Transact Technologies (AGSTRA IN) </a>to 'D' from "A/Stable' post a default</li>
<li>Rating agencies exist to anticipate events such as defaults and not react after being informed of a default</li>
<li>Rating agencies ignored poor fundamentals of <a href="https://www.smartkarma.com/entities/ags-transact-technologies" target="_blank" data-smartkarma-citation="entities:23692:1" rel="noopener">AGS Transact Technologies (AGSTRA IN)</a> in 2QFY2025 results which clearly and publicly revealed deteriorating cash flows and a high-risk financial strategy</li>
</ul>



Crisil Ltd (CRISIL IN) and India Rating Downgrade AGS Transact Technologies (AGSTRA IN) to 'D' from "A/Stable' post a default
Rating agencies exist to anticipate events such as defaults and not react after being informed of a default
Rating agencies ignored poor fundamentals of AGS Transact Technologies (AGSTRA IN) in 2QFY2025 results which clearly and publicly revealed deteriorating cash flows and a high-risk financial strategy


Ever-Vigilant CRISIL, India Rating Downgrade Firm – After Default

External broker reports(aggregated public sources), HDFC Securities

HDFC Securities

External broker reports(aggregated public sources)

HDFC securities is the best online trading platform for stocks, IPOs, mutual fund in India. 

Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only. Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

Equity Bottom-Up

AGS Transact Technologies / Equity Bottom-Up

<ul><li>AGS Transact Technologies Ltd (AGS) is the second largest ATM outsourcing and cash management player in India, with a 15/30% market share</li><li>The company has been able to sustain the impact of COVID-19 (ATM transactions declined by ~30%), supported by its strong and sticky relationship with top Indian banks and upward revision in interchange fees by ~14% by the regulator</li><li>AGS has focused on scaling the cash management (~20% CAGR) and the Digital payment business (~15% CAGR) to offset the impact on ATM management segment.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

AGS Transact Technologies Ltd (AGS) is the second largest ATM outsourcing and cash management player in India, with a 15/30% market shareThe company has been able to sustain the impact of COVID-19 (ATM transactions declined by ~30%), supported by its strong and sticky relationship with top Indian banks and upward revision in interchange fees by ~14% by the regulatorAGS has focused on scaling the cash management (~20% CAGR) and the Digital payment business (~15% CAGR) to offset the impact on ATM management segment.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

AGS Transact Technologies - Conflux of Cash and Digital Ecosystem

External broker reports(aggregated public sources), ICICI Securities Ltd

ICICI Securities Limited

ICICI Securities Ltd

ICICI Securities Limited provides investment services. The Company provides corporate and investment banking, securities, wealth management, retail brokerage, initial public offerings, and advisory services. 

Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only. Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

Equity Capital Markets

AGS Transact Technologies / Equity Capital Markets

<ul><li>AGS Transact Technologies is one of the largest integrated omni channel payment solutions providers in India in terms of providing digital and cash-based solutions to banks and corporate clients</li><li>AGS provides customised products and services comprising ATM and CRM outsourcing, cash management and digital payment solutions</li><li> At the upper end of the price band, the company is valued at ~38x FY21 EPS</li></ul><div class="content-highlight">Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</div>

AGS Transact Technologies is one of the largest integrated omni channel payment solutions providers in India in terms of providing digital and cash-based solutions to banks and corporate clientsAGS provides customised products and services comprising ATM and CRM outsourcing, cash management and digital payment solutions At the upper end of the price band, the company is valued at ~38x FY21 EPSContent is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

AGS Transact Technologies: Serving Cash, Digital Payment Opportunity

Forensic Analyst, Trudence Capital Advisors

Nitin Mangal

Forensic Analyst

Trudence Capital Advisors

Trudence Capital Advisors Private Limited is a SEBI-registered Research Analyst, holding SEBI registration number INH000015747. Our firm is dedicated to providing independent and unbiased research on Indian mid to large-cap companies. Trudence Capital is known for its counter-consensus views, with a focus on forensic research and on-ground primary investigations. Our research approach is thorough, involving detailed analysis of accounting practices and governance, alongside extensive channel checks.

Independent & Unbiased Research

<ul>
<li>
<a href="https://www.smartkarma.com/entities/ags-transact-technologies" target="_blank" data-smartkarma-citation="entities:23692:1" rel="noopener">Ags Transact Technologies (ATT IN)</a>  IPO has opened for bidding this week. The offer consists purely of offer for sale worth INR 6.8 bn size.</li>
<li>The promoter to offload INR 6.78 bn worth of shares and the proceeds will be used to buy out INR 6.5 bn worth CCPS of Vineha Enterprises P. Ltd. (VEPL).</li>
<li>VEPL is another promoter company and hence these transactions raise some serious eye-brows.</li>
</ul>



Ags Transact Technologies (ATT IN)  IPO has opened for bidding this week. The offer consists purely of offer for sale worth INR 6.8 bn size.
The promoter to offload INR 6.78 bn worth of shares and the proceeds will be used to buy out INR 6.5 bn worth CCPS of Vineha Enterprises P. Ltd. (VEPL).
VEPL is another promoter company and hence these transactions raise some serious eye-brows.


AGS Transact Tech IPO: The Promoter Jugglery

Head of Research, IPOs & Placements, Aequitas Research

Sumeet Singh

Head of Research, IPOs & Placements

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

<a href="https://www.smartkarma.com/entities/ags-transact-technologies" target="_blank" data-smartkarma-citation="entities:23692:1" rel="noopener">Ags Transact Technologies (ATT IN)</a> (ATT) plans to raise around US$150m via selling a mix of primary and secondary shares in India.
ATT is one of the largest providers of ATM managed services and cash management services. Earnings have grown steadily over the past few years although margins have been volatile. Moreover, the exit of PE investors with what seems to be tepid returns is probably not a great sign for future investors.

Ags Transact Technologies (ATT IN) (ATT) plans to raise around US$150m via selling a mix of primary and secondary shares in India.
ATT is one of the largest providers of ATM managed services and cash management services. Earnings have grown steadily over the past few years although margins have been volatile. Moreover, the exit of PE investors with what seems to be tepid returns is probably not a great sign for future investors.

AGS Transact Technologies IPO - High on Cash but Low on Profit

India

AGS Transact Technologies is an integrated omnichannel payment solutions provider in India. The company offers end-to-end services, including ATM outsourcing, cash management, and digital payment solutions, serving diverse sectors such as banking, retail, and petroleum. Headquartered in Navi Mumbai, Maharashtra, India, the company was founded in 2002.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

AGS Transact Technologies (AGSTRA IN)

Ever-Vigilant CRISIL, India Rating Downgrade Firm – After Default

Crisil Ltd downgrades AGS Transact Technologies to 'D' from 'A/Stable' post default, highlighting rating agencies' failure to anticipate poor...

Hemindra Hazari

AGS Transact Technologies - Conflux of Cash and Digital Ecosystem

AGS Transact Technologies Ltd (AGS) is the second largest ATM outsourcing and cash management player in India, with a 15/30% market share

HDFC Securities

AGS Transact Technologies: Serving Cash, Digital Payment Opportunity

AGS Transact Technologies is one of the largest integrated omni channel payment solutions providers in India in terms of providing digital and cash...

ICICI Securities Limited

AGS Transact Tech IPO: The Promoter Jugglery

The promoter to offload INR 6.78 bn worth of shares and the proceeds will be used to buy out INR 6.5 bn worth CCPS of Vineha Enterprises P. Ltd....

Nitin Mangal

AGS Transact Technologies IPO - High on Cash but Low on Profit

Ags Transact Technologies (ATT IN) (ATT) plans to raise around US$150m via selling a mix of primary and secondary shares in India. ATT is one of...

Sumeet Singh

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Ever-Vigilant CRISIL, India Rating Downgrade Firm – After Default

​Crisil Ltd downgrades AGS Transact Technologies to 'D' from 'A/Stable' post default, highlighting rating agencies' failure to anticipate poor...

Hemindra Hazari

AGS Transact Technologies - Conflux of Cash and Digital Ecosystem

AGS Transact Technologies Ltd (AGS) is the second largest ATM outsourcing and cash management player in India, with a 15/30% market share

HDFC Securities

AGS Transact Technologies: Serving Cash, Digital Payment Opportunity

AGS Transact Technologies is one of the largest integrated omni channel payment solutions providers in India in terms of providing digital and cash...

ICICI Securities Limited

AGS Transact Tech IPO: The Promoter Jugglery

The promoter to offload INR 6.78 bn worth of shares and the proceeds will be used to buy out INR 6.5 bn worth CCPS of Vineha Enterprises P. Ltd....

Nitin Mangal

AGS Transact Technologies IPO - High on Cash but Low on Profit

Ags Transact Technologies (ATT IN) (ATT) plans to raise around US$150m via selling a mix of primary and secondary shares in India. ATT is one of...

Sumeet Singh

Crisil Ltd downgrades AGS Transact Technologies to 'D' from 'A/Stable' post default, highlighting rating agencies' failure to anticipate poor...