Sunil Singhania recently bought a 1.1 % stake in India’s largest ATM cash managing stock

Sunil Singhania manages more than Rs 8,000 crore of listed stocks through his Abakkus Asset management firm.

Sunil Singhania is among the top 5 investors in India. He has co-founded Abakkus Asset Manager, an India-focused asset management firm. Before, he was a global equity head at Reliance Capital Group Ltd. Under his leadership, the Reliance Growth Fund’s (now known as Nippon India Growth Fund) AUM grew 100x in less than 22 years.

As per the June quarterly ending, Sunil Singhania has 28 stocks in his portfolio which are currently worth Rs 2167 crore. Recently, he added 4 fresh positions in CMS Info Systems Ltd, J Kumar Infraprojects Ltd, Stylam Industries Ltd, and Ethos Ltd. 

He holds 1,611,678 shares of CMS Info Systems Ltd, controlling a 1.1% stake in the company. As of August 18, this position is worth Rs 44.6 crore.

CMS Info Systems Ltd is involved in the business of ATM cash management, retail cash management, cash in transit, banking automation, brown label ATM, remote monitoring, multi-vendor software, and card personalisation. It is the only integrated banking solutions provider with end-to-end offerings.

It is India’s largest cash management company. It serves leading banks like SBI, HDFC, ICICI, and Axis. The company owns more than 4,000 vans, serving 1,50,000 plus business points across India.

The company financials look strong. The 5-year sales and profit growth stood at 12% and 23%, respectively. As per the March period ending, the company has an ROE and ROCE of 19.7% and 25.4%, respectively.

About the shareholding pattern, 63.16% stake is owned by the promoters, 10.4% by FIIs, 11.65% by DIIs, and the remaining 14.78% by non-institutional investors.

The company recently got listed in December 2021. Currently, the company has a market capitalisation of Rs 4245 crore and the stock is trading at a PE multiple of 17.5x.