ECOS Mobility IPO Listing Soars Over 17% on Market Debut

ECOS Mobility IPO Listing Soars Over 17% on Market Debut

ECOS (India) Mobility & Hospitality Ltd, a leading provider of chauffeured car rentals and employee transportation services, made a strong debut on the stock exchanges on September 4, 2024, with its shares jumping over 17% from the issue price.The stock listed at ₹391.30 on the BSE, a premium of 17.15% over the issue price of ₹334. On the NSE, the shares opened at ₹390, a premium of 16.76%. The stock later surged to ₹456, a gain of 36.52% from the issue price.The strong listing comes on the back of a robust response to the IPO, which was subscribed 64.18 times during the three-day subscription period from August 28 to August 30. The qualified institutional buyers (QIB) category was subscribed 136.85 times, while the non-institutional investors (NII) and retail individual investors (RII) categories saw subscriptions of 71.17 times and 19.66 times, respectively.ECOS Mobility’s IPO was entirely an offer for sale (OFS) of up to 1.8 crore equity shares, with no fresh issue of shares. The company had set a price band of ₹318-334 per share for the IPO.The Delhi-based company has been providing chauffeured car rentals and employee transportation services to corporate clients for over 25 years. It operates a fleet of more than 9,000 vehicles, ranging from economy to luxury cars, and also provides specialty vehicles such as luggage vans, limousines, vintage cars, and vehicles for accessible transportation.In the financial year 2023-24, ECOS Mobility completed 31 lakh trips, averaging more than 8,400 daily trips. The company’s revenue from operations rose 31% year-on-year to ₹554 crore in FY24, while profit after tax (PAT) increased 43% to ₹62.5 crore in the same period.The strong listing and subscription numbers indicate investor confidence in ECOS Mobility’s business model and growth prospects. The company’s focus on providing reliable and efficient transportation services to corporate clients has helped it establish a strong market position.