01 — At a Glance
The Loyalty App That Wants to Act Like Flipkart. With 50 People.
- Issue Size (Upper Band)₹60.15 Cr
- Fresh Issue₹48.18 Cr
- Offer for Sale (OFS)₹11.97 Cr
- H1-FY26 Revenue₹71.43 Cr
- H1-FY26 PAT₹5.80 Cr
- H1-FY26 PAT Margin8.13%
- P/E (Annualized H1)16.54x
- P/E (FY25 Basis)63.20x
- Market Cap (Pre-IPO)₹227.03 Cr
- Promoter Stake95.62%
Auditor’s Opening Scream: Novus Loyalty closed H1-FY26 with ₹71.43 crore revenue and ₹5.80 crore PAT — a dramatic margin expansion from just ₹3.58 crore full-year PAT in FY25. At the upper IPO band of ₹146, annualized EPS on expanded post-IPO equity stands at ₹7.47, giving a P/E of 19.56x. But use FY25 EPS? The P/E balloons to 63.20x. This is not a stock price discovery issue — it’s a margin miracle mystery. The offers documents even warn that bumper H1 profits raise eyebrows and concerns over sustainability. Translation: “This company may not replicate H1 magic.”
02 — Introduction
Loyalty Rewards, But Make It Tech. (Really Make It Work, Though?)
Novus Loyalty Ltd. exists in the grey zone between boring necessity and hyped-up tech story. Founded in 2011, the company sells loyalty and rewards software — the kind that makes banks, fintechs, e-commerce, and insurance companies build repeat customers. Your ICICI credit card points? Could be Novus. Your Amazon rewards? Could be Novus. That coupon code your shopkeeper uncle has no idea how to scan? Probably not Novus, but close enough.
The company was flying under the radar for 15 years. Then in H1-FY26 (September 2025), something happened. Either their customers suddenly loved them, or they found an accountant who loves them. Revenue exploded to ₹71.43 crore. Profit margins jumped to 8.13%. And here we are, a 50-person startup selling loyalty software at a 1.4x revenue multiple and a market cap approaching ₹230 crore. Your gym’s 10-month membership cancellation email? That confidence should inspire you.
Founders Deepak Tomar and Sweta Singh are holding 95.62% pre-IPO. This is not a VC-backed tech darling. This is two humans who built a B2B SaaS business and are now diluting down to 70% to raise ₹48.18 crore. The reason is simple: growth requires money. The reason it’s suspicious: why do they need growth money when H1 profits exploded?
The H1-FY26 Mystery: The offer documents are very honest, in an unintended way. They state: “Boosted margins from FY24 onwards and bumper profits of H1-FY26 raise eyebrows and concern over its sustainability.” Translation: even the auditor is confused. Read the reviews. Smart investors should be too.
03 — Business Model: We Do Loyalty. (You Do Due Diligence.)
The Software That Tracks Your Addiction to Shopping Points
Novus Loyalty sells two things: On-Premises (they install software on the client’s servers) and SaaS (cloud subscription model). On-Premises is old-school, good for paranoid banks. SaaS is trendy, good for startups that don’t want infrastructure headaches. Both use the same loyalty engine: track purchases, award points, trigger campaigns, display analytics, collect data, sell insights, build moats.
Their clients range from fintechs to insurance companies to e-commerce platforms. They serve states like Telangana, Haryana, Maharashtra, and Delhi locally. Internationally, they’re in UAE, USA, Australia, and Puerto Rico — which is basically their CEO’s fantasy destinations at this rate. With 50 employees (as of January 2026), they’ve built a platform that definitely works. The question is: how do they scale with no more humans?
Revenue model: recurring SaaS subscriptions, one-time implementation fees, and consulting. Margins should be fat (SaaS is supposed to be ~80% margins). Yet their H1-FY26 margin was 8.13%. That’s not SaaS. That’s discount retail. Something isn’t adding up. Either their clients are negotiating them to hell, or there’s heavy spending on sales and R&D that’s being front-loaded before the IPO. Or both.
On-PremisesInstalledFor paranoid banks
SaaS CloudTrendyFor lazy startups
Employees50Scaling? Math doesn’t add up
The Scaling Paradox: They claim to serve clients across 160+ countries worth ₹71.43 Cr revenue with 50 people. That’s ₹1.43 crore per employee annually. If you’ve worked in B2B SaaS, you know that’s either genius execution or heroic underreporting of actual headcount (contractors, freelancers, etc.). Given IPO timing, probably the latter.
💬 Have you ever used a loyalty program that ran on Novus? Ever wondered if your points data was being sold to a startup in Gurgaon?
04 — Financials Overview
The Margin Miracle That Defies Physics
