ECOS (India) Mobility & Hospitality (ECO Mobility) is set to launch its initial public offering (IPO) on August 28, Wednesday and the three-day bidding will conclude on Friday, August 30. The company will be selling its shares in the fixed price band of Rs 318-334 apiece. Investors can apply for a minimum of 44 equity shares and its multiples thereafter.
ECOS (India) Mobility & Hospitality is a chauffeur driven car rental service provider in India. Incorporated in February 1996, its primary business is to provide chauffeured car rentals and employee transportation services. The company has been offering these services to corporate clients, including Fortune 500 companies in India.
The IPO of ECO Mobility is entirely an offer-for-sale (OFS) of up to 1.80 crore equity shares by its promoters Rajesh Loomba and Aditya Loomba amounting to Rs 601.20 crore. The company will not receive any proceeds from the issue and will go to selling shareholders of the company. Anchor book for the IPO opens on Tuesday, August 27.
ECO Mobility had a presence throughout India, operating in 109 cities using its own vehicles and vendors by the end of FY24. Its presence is spread across 21 states and four union territories. In Fiscal 2024, it served over 1,100 organizations in India. The company offers self-driven cars in Delhi, Gurugram, Mumbai, and Bengaluru.
The company has a fleet of over 12,000 cars, including economy, luxury, and mini vans, as well as specialty vehicles such as luggage vans, limousines, vintage cars, and accessible transportation for people with disabilities. In Fiscal 2024, ECO Mobility completed over 3,100,000 trips, averaging more than 8,400 trips per day.
The clientele includes names like InterGlobe Aviation, HCL Corp, Safexpress, Deloitte Consulting India, Urban Company, IndusInd Bank, Foresight Group, HDFC Life Insurance, Thomas Cook, Grant Thornton Bharat, Walmart Global Tech, VRB Consumer, Dreamfolks Services, Mercer Consulting, Fidelity, exl Service.com (India), VA Tech Wabag and more.
For the financial year ended on March 31, 2024, ECO Mobility reported a net profit of Rs 62.53 crore, with a revenue of Rs 568.21 crore. The company's bottomline came in at Rs 43.59 crore with a revenue of Rs 425.43 crore in the financial year 2022-23.
50 per cent for the offer has been reserved for qualified institutional bidders (QIBs), while non-institutional investors will get 15 per cent of the primary offering by ECO Mobility. Retail investors will have 35 per cent of the net offer allocated for them.
Equirus Capital and IIFL Securities are the book running lead managers of the ECO Mobility IPO, while Link Intime is the registrar for the issue. Shares of the company shall be listed on both BSE and NSE with September 4, Wednesday as the tentative date of listing on the bourses.