ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) Review –
ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) is set to open from 28th Aug 2024 to 30th Aug 2024. This article will analyze the financials , strengths and weaknesses of the ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO). Keep scrolling below to read more!
ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) Overview –
Established in February 1996, ECOS (India) Mobility & Hospitality Limited is a chauffeur driven car rental service provider in India. The company has been offering these services to corporate clients, including Fortune 500 companies in India. The company’s primary business is to provide chauffeured car rentals (“CCR”) and employee transportation services (“ETS”).
As of March 31, 2024, the company had a presence throughout India, operating in 109 cities using its own vehicles and vendors. It was spread across 21 states and four union territories, showcasing its extensive reach and penetration into diverse regions across the country.
In Fiscal 2024, ECOS (India) Mobility has served the CCR and ETS requirements of over 1,100 organizations in India.
The company offers self-driven cars in Delhi, Gurugram, Mumbai, and Bengaluru.
ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) Synopsis-
ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) is set to be open from 28th Aug 2024 to 30th Aug 2024, offering entirely offer for sale of 1.8 crore shares aggregating to Rs 601.20 crores. This NSE,BSE IPO follows a Book Built Issue IPO with tentative listing date fixed as Wednesday, September 4, 2024.
The total issue size of this IPO amounts to Rs. 601.20 Crores. The company has allocated shares 35% to retail investors, 50% to institutional and 15% to non institutional investors.
| Particulars | Details |
| Opening Date | 28th Aug 2024 |
| Closing Date | 30th Aug 2024 |
| Lot Size | 44 Shares |
| Face Value | Rs. 2 |
| IPO Size | Rs. 601.20 Cr |
| Fresh Issue | N/A |
| IPO Price Range | Rs. 318 – 334 |
| Min. Investment | Rs. 14,696 |
| Offer for Sale (OFS) | Rs. 601.20 Cr |
| Employee Discount | N/A |
| Basis of Allotment | 2nd Sept 2024 |
| Refunds | 3rd Sept 2024 |
| Listing Date | 4th Sept 2024 |
| DRHP Draft Prospectus: | Click Here |
| RHP Draft Prospectus: | Click Here |
ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) Market Lot
ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) minimum market lot is 44 shares with ₹14,696 application amount. The retail investors can apply up to 13 lots with 572 shares or ₹191,048 amount.
| Application | Lot Size | Shares | Amount |
| Retail Minimum | 1 | 44 | ₹14,696 |
| Retail Maximum | 13 | 572 | ₹191,048 |
| S-HNI Minimum | 14 | 616 | ₹205,744 |
| B-HNI Minimum | 69 | 3,036 | ₹1,014,024 |
ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) Book Running Lead Managers –
- Equirus Capital Private Limited
- IIFL Securities Ltd
ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) Registrar to the offer –
The registrar for the ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) is Link Intime India Private limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
The Objective Of The Issue –
The company will not directly receive any proceeds from the Offer and all the Offer Proceeds will be received by the Selling Shareholders, in proportion to the Offered Shares sold by the respective Selling Shareholders as part of the Offer.
Key Performance Indicator –
The market capitalization of ECOS Mobility & Hospitality Limited is Rs 2004 Cr.
KPI as of March 31, 2024.
| Earning Per Share (EPS): Post IPO | ₹10.42 per Equity Share |
| Price/Earning P/E Ratio: Post IPO | 32.05 |
| Return on Net Worth (RoNW): | 42.75% |
| PAT Margin(%) | 11 |
| Net Asset Value (NAV): | ₹29.57 per Equity Share |
Financial Status –
The company’s revenue increased by 34% and PAT increased by 43% during FYs ending 31 March 2024 and 31 March 2023.
Below is the synopsis of the company’s financial data for the financial year that concluded on 31 March 2024.
The total assets of the company are Rs.296.66 crore.
The company’s total revenue is over Rs.568.21 crore.
The company’s PAT is Rs.62.53 crore.
The net worth of the company is Rs.177.41 crore.
The company’s EBITDA is Rs.89.96 crore.
| Particulars(in Rs. Crores) | FY 24 | FY 23 | FY 22 |
|---|---|---|---|
| Revenue From Operations | 568.21 | 425.43 | 151.55 |
| PAT | 62.53 | 43.59 | 9.87 |
| Net Worth | 177.41 | 115.13 | 71.56 |
| Total Assets | 296.66 | 229.71 | 112.38 |
| Reserves and Surplus | 165.41 | 115.07 | 71.5 |
Valuation of P/E Ratio :
The P/E Ratio of ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) is 32.05
Comparative Analysis with Listed Peers :
The average P/E Ratio of the industry is 22.28x.
The P/E ratio of ECO Mobility IPO as compared with the industry’s average P/E of 22.28x has an overvaluation. Hence the price of the Share seems aggressively priced for the investors when considered based on the average P/E ratio of the industry.
Peers of ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) –
ECOS (India) Mobility & Hospitality Limited peer comparison with similar listed entities.
| Company Name | EPS | NAV (per share) (Rs) | P/E (x) | RoNW (%) | Financial statements |
|---|---|---|---|---|---|
| ECOS (India) Mobility & Hospitality Limited | 10.42 | 29.57 | 42.75 | ||
| Wise Travel India Limited | 12.79 | 89.52 | 20.82 | 15.62 | Consolidated |
| Shree Osfm E-mobility Limited | 7.02 | 58.64 | 23.73 | 15.24 | Standalone |
ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) Strengths –
In the market for chauffeur-driven mobility services, India’s Largest and most profitable provider in terms of operating income and net profit for the FY 2023.
Long Standing client connections with business synergies between several business divisions.
Reputable brand developed over years of operational performance.
The all-encompassing technological environment that promotes operational superiority.
Company has shown strong consistent financial growth and reliable performance.
ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) Weakness –
The business relies on partnerships with suppliers who provide it with cars and chauffeurs thus any negative changes to these ties, or inability to form new ones, could harm its operations and commercial outcomes.
Any decline in Global Capability Centers (GCC) would harm its cash flows, financial situation, and revenue from clients in the ETS business sector.
It may be challenging to identify misconduct by the workers and chauffeurs, so it could damage its reputation and brand as well as harm the financial situation, operational outcomes, and business prospects.
The pricing may be impacted by the fierce competition in the chauffeur-driven mobility service market, which could lower its profits and Sales.
The Offer for Sale will not generate any revenue for the company. The net proceeds from the offer for Sale will be distributed to the selling Shareholders.
ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) Status
ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) allotment status will be available on Link Intime’s website.
Click on Link Intime IPO weblink to get allotment status.
ECOS Mobility & Hospitality Limited IPO (ECO Mobility IPO) GMP Today –
IPO’s last GMP is ₹151, last updated Aug 27th 2024. With the price band of 334.00, IPO’s estimated listing price is ₹485(cap price + today’s GMP). The expected percentage gain/loss per share is 45.21%.
Note : The GMP prices shown here are only news related to the grey market. We do not trade/deal in grey market or subject to rates, nor do we recommend trading in grey market.
Conclusion –
Hope the details presented in this blog will assist you in learning about the financial performance of the company. Before making an investment in the company’s upcoming initial public offering (IPO), thoroughly research the company, its finances, business prospects, and market trends.
Also, investors should consult their financial advisor, conduct further due diligence, analyze industry trends and the competitive landscape, and consider risk factors before making an investment decision.
For all such latest information on upcoming IPOs, keep visiting our website.
