Defense electronics solutions provider C2C Advanced Systems will open its Rs 99-crore initial share sale for subscription on November 22. The issue will close on November 26.
It is a book-built issue comprising solely of a fresh issue of 43.83 lakh equity shares by the company. The price band for the IPO has been fixed at Rs 214-226 per share.
The New Delhi-based company that caters to the defence products industry in India has reserved half of its net issue size for qualified institutional buyers, 35 percent for retail investors, and the remainder 15 percent shares for non-institutional investors.
It provides designs for the entire spectrum of strategic defence solutions including processors, power, radio frequencies (RF), radars and microwaves, embedded software and firmware. Its key domain expertise includes C4I systems for effective situational awareness and decision support, AI/ML based big data analytics, enterprise integration of real time data from IIOT and embedded/FPGA designs.
C2C, which competes with only listed entity Paras Defence and Space Technologies, has an order book of Rs 50.56 crore as of September 2024.
The company will spend Rs 66.91 crore out of the net issue proceeds for purchase of fixed assets (both hardware and software), towards fit-outs at the new premises at both Bengaluru and Dubai, payment of security deposit for the new premises at Bengaluru, and working capital requirements. The remainder of the funds will be used for general corporate purposes.
It had strong financial performance in the past years with profit rising to Rs 12.3 crore in the fiscal 2024, up sharply from Rs 2.9 crore in the previous year. Revenue during the same period increased multi-fold to Rs 41.06 crore, up from Rs 8.05 crore in FY23. Profit in the April-September period of FY25 stood at Rs 9.7 crore on revenue of Rs 43.2 crore.
Mark Corporate Advisors, and Beeline Capital Advisors are acted as the book running lead managers to the issue, while its equity shares will debut on the NSE Emerge on November 29.
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