C2C Advanced Systems Limited is set to launch its Initial Public Offering (IPO) from November 22, 2024, to November 26, 2024. This IPO aims to raise ₹99.07 crores through the issuance of 4,383,600 shares. Here’s a comprehensive overview of the IPO details, including subscription status, financial performance, and investment recommendations.
IPO Details
- Issue Size: ₹99.07 crores
- Price Band: ₹214 to ₹226 per share
- Lot Size: Minimum of 600 shares (₹135,600)
- Market Maker: Spread X Securities
- Registrar: Link Intime India Private Ltd
- Opening Date: November 22, 2024
- Closing Date: November 26, 2024
- Allotment Date: November 27, 2024
- Listing Date: November 29, 2024
Important Dates
| Event | Date |
|---|---|
| IPO Opening Date | November 22, 2024 |
| IPO Closing Date | November 26, 2024 |
| Basis of Allotment | November 27, 2024 |
| Initiation of Refunds | November 28, 2024 |
| Credit of Shares to Demat | November 28, 2024 |
| Listing Date | November 29, 2024 |
Company Financial Overview
C2C Advanced Systems has demonstrated remarkable growth in its financial performance, showcasing a significant increase in both revenue and profit. For the financial year ending March 31, 2024, the company’s revenue surged by 412%, reaching ₹4,324.97 lakhs, up from ₹806.73 lakhs in the previous year. This impressive growth trajectory is complemented by a substantial rise in Profit After Tax (PAT), which increased by 327% to ₹972.99 lakhs from ₹287.52 lakhs in the prior fiscal year. As of September 30, 2024, C2C Advanced Systems reported total assets of ₹11,058.01 lakhs, reflecting a robust asset base that supports its operational capabilities.
Key Financial Metrics
The company’s financial metrics further illustrate its strong performance and potential for future growth. The Earnings Per Share (EPS) is projected to increase from ₹10.02 pre-IPO to ₹11.69 post-issue, indicating a favorable outlook for investors. The Price-to-Earnings (P/E) ratio is expected to decrease from 22.56 to 19.33, suggesting that the stock may become more attractive after the IPO. Additionally, C2C Advanced Systems maintains a healthy Debt-to-Equity ratio of 0.15, which indicates prudent financial management and low leverage relative to its equity base.
GMP (Grey Market Premium)
As of now, the Grey Market Premium (GMP) for C2C Advanced Systems is reported at around ₹40, indicating positive sentiment among investors regarding the stock’s listing price.
Should I Apply?
Given the strong financial performance and positive market sentiment reflected in the GMP and subscription rates of the C2C Advanced Systems IPO, investors may consider applying for this IPO for medium to long-term gains. The company’s focus on defense electronics and digital transformation positions it well within a growing market.
Pros:
- Strong revenue and profit growth.
- Positive market sentiment reflected in subscription rates.
- Strategic focus on defense and digital transformation sectors.
Cons:
- High competition in the defense electronics market.
- Reliance on government contracts may pose risks.
Expert Opinion
Market analysts have provided varied insights regarding C2C Advanced Systems’ IPO:
- Dilip Davda, a noted market analyst, suggests that investors may park funds for medium to long-term gains due to the company’s specialization in critical product development and its strong management track record.
- Analysts from ICICI Securities recommend applying for the IPO given its robust financial metrics and growth potential in the defense sector.
Conclusion
C2C Advanced Systems Limited’s IPO presents an attractive opportunity for investors looking to enter the growing defense electronics sector. With a solid financial foundation and promising growth prospects, this IPO could be a worthwhile addition to an investment portfolio.
Disclaimer
Investing in stocks and IPOs involves risks, including loss of principal. This article is intended for informational purposes only and should not be construed as financial advice. Investors should conduct their own research or consult with financial advisors before making investment decisions regarding C2C Advanced Systems Limited or any other securities.
