The Rs 429-crore IPO of Exicom Tele-Systems was fully subscribed within hours of opening on February 27, with retail investors and HNIs lapping up their quota of shares.
The public offer was subscribed 5.8 times. The portion set aside for retail investors was booked 18 times, while high net-worth individuals (HNIs) picked 10.4 times their allotted quota of shares.
About 75 percent of the initial public offering of the Gurugram-based EV charger manufacturer is reserved for qualified institutional buyers, 15 percent for non-institutional investors and the remaining rest 10 percent for retail investors.
The offer comprises a fresh issue of Rs 329 crore worth of shares and an offer-for-sale (OFS) of 70.42 lakh shares worth Rs 100 crore at the upper price band. Promoter NextWave Communication is selling shares in the OFS.
NextWave Communications, Satellite Finance and Vinsan Brothers hold 76.55 percent, 4.64 percent and 4.35 percent stake in the company. HFCL has a 7.74 percent stake in the company, while the rest is held by public shareholders, including Rare Enterprise.
Also Read: Exicom Tele-Systems IPO: 10 things to know before subscribing to the Rs 429-cr issue
Exicom Tele-Systems will spend Rs 145.77 crore to set up assembly lines at a facility in Telangana, Rs 69 crore will be set aside as working capital and Rs 40 crore will be invested in R&D and product development.
A sum of Rs 50.3 crore will be used for repaying debts and the remaining money will be for general corporate purposes.
At the end of December, the company had a debt of Rs 95.34 crore.
Ahead of the IPO, the company raised Rs 178 crore from anchor investors. Several marquee investors including Maybank Asiapac Ex-Japan Equity I Fund, Nepean Long Term Opportunities Fund, Abakkus Diversified Alpha Fund, Quant Mutual Fund, JM Financial Mutual Fund, Aditya Birla Sun Life Trustee, and SBI General Insurance Company, participated in the round.
Also Read: Exicom Tele-Systems mobilises Rs 178 crore from anchor investors ahead of IPO
Exicom Tele-Systems operates as a power management solutions provider with two primary business verticals. Its EV chargers business offers smart charging systems for residential, business, and public charging applications.
Second is the critical power solutions business through which the company designs, manufactures and services critical digital infrastructure technology.
The technology is geared towards ensuring comprehensive energy management at telecommunications sites and enterprise environments, both in India and internationally.
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