Anticipated Strong Market Debut Forecasted for Exicom Tele-Systems, a Charging Infrastructure Firm, on March 5, Supported by Significant Grey Market Premium Trends. Current Indications Show a Premium of Rs 145, Marking a 102 Percent Increase Over the Issue Price, Pointing Towards an Estimated Listing Price of Around Rs 287.
The anticipation of a listing surge mirrors the overwhelming response garnered by the company’s initial public offering. Exicom Tele-Systems’ IPO saw a subscription rate of nearly 130 times, with non-institutional investors taking the lead by bidding 152.22 times their allocated quota. Retail investors also showed strong interest, subscribing 119.59 times, while qualified institutional buyers (QIBs) bid 121.80 times the reserved portion.
A pioneer in EV charging infrastructure and a leading provider of power management solutions, Exicom Tele-Systems boasts a commanding 60 percent market share in the EV charging segment. According to Amit Goel, Chief Global Strategist at Pace 360, the company is well-positioned for promising opportunities ahead, driven by the global transition from conventional fuel to electric vehicles.
Exicom Tele-Systems is a key player in the power management solutions sector, operating with two primary business verticals. Firstly, it is a leading provider of smart charging systems for electric vehicles (EVs), catering to residential, business, and public charging needs across India. Secondly, the company specializes in designing, manufacturing, and servicing critical digital infrastructure technology.
According to Prashanth Tapse, Senior Vice President of Mehta Equities, “Given the exponential growth expected in the EV sector and Exicom’s strong market position to address this demand, we anticipate a robust listing for the company, with a high potential for doubling from its issue price of Rs 142. Despite the fully priced valuation offer, we believe the premium listing is justified due to Exicom’s early entry into EV charger manufacturing and strategic partnerships with automotive OEMs and charging station operators, solidifying its leadership in the market.”
Dhruv Mudaraddi, an analyst at StoxBox, emphasized Exicom’s significant role in the global telecommunications sector. He noted, “Exicom is well-positioned as a major player in the telecommunications industry, with the potential to capitalize on the evolving landscape driven by increased smartphone adoption, 5G deployment, and the growing number of Internet of Things (IoT) devices. With clear post-IPO objectives, including facility establishment, debt repayment, investment in R&D, and strengthening working capital, Exicom demonstrates a proactive approach to addressing market demands and seizing growth opportunities.”
The EV charger manufacturer aims to raise Rs 429 crore through its inaugural public issue. This includes a fresh issue of shares worth Rs 329 crore by the company and an offer-for-sale (OFS) of 70.42 lakh shares valued at Rs 100 crore at the upper price band.
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