LatentView Analytics IPO: Information analysis

LatentView Analytics is a pure-play data analytics company. The company designs and engineers result-oriented analytics solutions for clients across industries to operate more efficiently by predicting outcomes that fuel digital transformation and sustainability. LatentView Analytics' expertise includes customer profiling, targeted marketing, supply chain management, finance and risk management, and HR functions. The company provides services ranging from business analytics and insights (contributed about 60 per cent to FY21 revenue), data engineering and digital solutions (20 per cent), data and analytics consulting (15 per cent), and advanced predictive analytics (5 per cent). It engages and provides services to blue-chip companies in technology (about 63.2 per cent of FY21 revenue), industrials (17.5 per cent), consumer packaged goods & retail (9.6 per cent), and BFSI (9.6 per cent) industries. LatentView Analytics' clients span across countries in the US, Europe, and Asia. The company has worked with over 30 Fortune 500 companies in the last three years. As of September 30, 2021, it had 46 active clients. The pure-play analytics market is highly fragmented. The trend in the industry indicates that mid-sized and large-sized multi-service providers are adding niche analytics capabilities through acquisitions of small pure-play analytics service providers. The company aims to leverage these opportunities and is exploring strategic acquisition opportunities that will enable it to gain access to new geographies, industries, and client base. It also plans to use some of the proceeds to invest in a few of its subsidiaries to augment their capital base to fund client acquisition, build its delivery infrastructure and enhance the technology infrastructure. Strengths Wide range of capabilities: Functional expertise is the foundation of LatentView Analytics' operations. Combining that with business knowledge, quantitative methods, and data management helps it provide end-to-end business solutions. The company's portfolio offers a distinctive breadth and depth of capabilities, including descriptive and prescriptive analytics with intuitive and personalised dashboards that can drive monetisation by improving sales and marketing efficiency, customer experience, and operational efficiency. Relationship with blue-chip clients: Its relationship with its top five clients has been, on average, for over six years. The company begins its engagements with its clients by providing business intelligence and visualisation services, which later evolve into deeper engagements for advanced analytics and predictive modelling. The majority of its revenue is generated through long-term agreements. Industry tailwind: COVID-19 pandemic has led to a digital divide - companies that had invested in digital initiatives rather than legacy IT infrastructure ar