Exicom Tele-Systems to raise ₹430 crore via IPO by February end : Report
Exicom Tele-Systems, an electric vehicle charging solution providing company, is poised to become the first company to go public in this sector, according to a report by CNBC-TV18.
The report further reveals that the company is looking to raise over ₹430 crore through its public offering, of which ₹330 crore is earmarked for the fresh issuance of shares, the company aims to channel these funds strategically.
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Utilizing the proceeds from the IPO, Exicom Tele-Systems plans to establish a manufacturing facility in Telangana, settle outstanding borrowings, invest in cutting-edge research and development infrastructure, and address working capital requirements.
Sources further told the publication that the IPO could be priced in the range of ₹140-145 per share, with a targeted post-listing market capitalization of ₹1,750 crore. Monarch Networth Capital and Systematix Corporate Services have been enlisted as the bankers for the IPO.
Remarkably, the company commands a 60 percent market share in residential charging and a 25 percent market share in public charging segments. Beyond this, Exicom Tele-Systems also delivers critical power solutions to telecommunication and enterprise sites.
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HDFC, a listed entity, holds an 8.19 percent stake in Exicom Tele-Systems, while NextWave Communications and Vinsan Brothers possess 71 percent and 14 percent stakes in the company, respectively.
Exicom Tele-Systems reported a revenue of ₹708 crore in FY23, marking a notable increase from ₹513 crore in FY22. A significant player in the electric vehicle charging sector, approximately 32 percent of the company’s revenue is attributed to electric vehicle charging solutions.
The company witnessed a 24 percent growth in profit after tax in FY23, following a substantial 50 percent surge in FY22. As of the conclusion of FY23, Exicom Tele-Systems held total borrowings amounting to ₹118 crore.
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Reflecting the robust demand for its offerings, the total orders received in the electric vehicle charging solutions business escalated to ₹295 crore in FY23 from ₹78 crore in FY21. Additionally, orders from the critical power business reached ₹552 crore by the end of FY23.
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Published: 05 Feb 2024, 10:49 PM IST
