Exicom Tele-Systems IPO: Debuts At Bumper Premium Of 87 Per Cent Over Issue Price

The issue was subscribed 129.54 times on the last day of bidding on February 29, 2024, with high net worth individuals (HNIs) leading the subscriptions by 153.22 times

In addition to its EV chargers business vertical, the firm also functions as a power management solutions provider

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Exicom Tele-Systems marked a strong debut in the stock market on Tuesday, as the firm’s issue listed at a bumper premium of 87 per cent over the issue price. The EV charger manufacturer’s initial public offering (IPO) entered the bourses at Rs 265, registering a markup over the issue price of Rs 142 per share. 

The firm’s fresh issue included equities worth Rs 329 crore and an offer-for-sale (OFS) of over 70 lakh shares worth Rs 100 crore at the upper price range, reported Moneycontrol. With the headquarters based in Gurugram, the firm planned to raise Rs 429 crore via the public issue.

The issue was subscribed 129.54 times on the last day of bidding on February 29, 2024, with high net worth individuals (HNIs) leading the subscriptions by 153.22 times. The issue was subscribed 119.58 times by retail investors and 121.80 times by qualified institutional buyers.

From the funds raised from the maiden issue, the company intends to set aside Rs 145.77 crore for setting up production/assembly lines at a manufacturing facility in Telangana. Further, the EV charging infrastructure manufacture will be utilising Rs 69 crore to cater to the working capital requirements, Rs 40 crore for investment in research and development, and product development, along with Rs 50.3 crore to repay debts. The remaining funds would be earmarked for general corporate purposes. 

In addition to its EV chargers business vertical, the firm also functions as a power management solutions provider. It also supplied smart charging systems for residential, business, and public charging applications in the country.

The company was also one of the first to enter the EV chargers manufacturing industry. It controlled a market share of 60 per cent in the residential charging sector, and about 25 per cent in the public charging segments, as of March end, 2023. It has also disbursed more than 35,000 EV chargers spread across 400 locations in the country.