Exicom Tele-Systems IPO: The initial public offering of Exicom Tele-Systems Ltd, which will be closed on Thursday, February 29, has received a decent response from investors. Till 10:39 am on the final day of bidding on Thursday, February 29, the Rs 429-crore IPO received 33.47 times subscription, garnering bids for 59,15,65,900 shares as against 1,76,72,400 shares on offer.
The Exicom Tele-Systems IPO was opened for public subscription on Tuesday, February 27. The price band of the IPO has been fixed at Rs 135 to Rs 142 per share.
The retail category has received 75.67 times subscription and the non-institutional quota got 69.81 times subscription. The QIB quota has been subscribed 4.60 times.
The allotment of the Exicom Tele-Systems IPO will take place on March 1, while its listing will take place on both NSE and BSE on March 5, 2024.
Exicom Tele-Systems IPO GMP Today
According to market observers, unlisted shares of Exicom Tele-Systems Ltd (ETSL) are trading Rs 165 higher in the grey market as compared with its issue price. The Rs 165 grey market premium or GMP means the grey market is expecting a 116.2 per cent listing gain from the public issue. The GMP is based on market sentiments and keeps changing.
‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.
Exicom Tele-Systems IPO: Should You Subscribe?
Assigning the ‘subscribe’ rating, brokerage Anand Rathi in a note said, “At the upper price band of Rs.142, ETSL is available at a P/E of 31x (FY24E annualised), which appears to be fully priced. Considering the EV sector’s robust outlook, Company’s first mover advantage in both power management solutions and EV charging infrastructure, improving financial and operational track record and future expansion plans, we assign a ‘Subscribe’ rating on a medium to long-term basis.”
It added that Exicom Tele-Systems Ltd’s (ETSL) revenue grew from Rs 512.9 crore in FY21 to Rs 707.9 crore in FY23, representing a CAGR of 17.5 per cent, while its PAT grew from Rs 12.7 crore in FY21 to Rs 31 crore in FY23 at a CAGR of 56.5 per cent. In FY23, the company’s key performance indicators of ROE stood at 13.4 per cent and ROCE at 13.7 per cent.
“In H1FY24, revenue from operations more than doubled to Rs 455 crore and net profit of Rs 27.4 crore as against a loss a year ago,” Anand Rathi said.
Exicom Tele-Systems IPO Details
The Exicom Tele-Systems IPO is a combination of a fresh issue of 2.32 crore shares aggregating to Rs 329.00 crores and an offer for sale of 0.7 crore shares aggregating to Rs 100 crore.
Exicom Tele-Systems IPO opens for subscription on February 27, 2024, and closes on February 29, 2024. The allotment for the Exicom Tele-Systems IPO is expected to be finalized on Friday, March 1, 2024. Exicom Tele-Systems IPO will list on BSE and NSE with a tentative listing date fixed as Tuesday, March 5, 2024.
Exicom Tele-Systems IPO price band is set at Rs 135 to Rs 142 per share. The minimum lot size for an application is 100 shares. The minimum amount of investment required by retail investors is Rs 14,200. The minimum lot size investment for small NII is 15 lots (1,500 shares), amounting to Rs 2,13,000, and for big NII, it is 71 lots (7,100 shares), amounting to Rs 10,08,200.
Monarch Networth Capital Ltd, Unistone Capital Pvt Ltd and Systematix Corporate Services Limited are the book-running lead managers of the Exicom Tele-Systems IPO, while Link Intime India Private Ltd is the registrar for the issue.
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