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Uniinfo Telecom Services, a leading network optimisation service provider for telecom companies, plans to raise ₹15.59 crore through an initial public offer on NSE Emerge, the SME platform.
The company will issue 28.34 lakh shares at a fixed price of ₹55 a share and the minimum lot size has been fixed at 2,000 shares.
The issue opens on March 5 and Systematix Corporate Services is the lead manager of the IPO.
The public issue will result in 26.5 per cent dilution of promoters’ stake in the company. The proceeds will be used as working capital and for repayment of debt, which will increase profitability of the company with the reduction in interest outgo.
Clients
Uniinfo Telecom clients include leading telecom operators such as Reliance Jio and original equipment manufacturers such as Samsung, Nokia, Huawei, Ericsson, NEC and ZTE.
The company provides end-to-end services to address network life-cycle requirements of the telecom industry and consultation for better network performance in multi-technologies such as 2G, 3G, LTE, CDMA and Wimax.
Last fiscal, the company registered three times rise in net profit at ₹1.08 crore while revenue went up 98 per cent to ₹27.87 crore.
In the first half of this fiscal, net profit was up at ₹2.16 crore while revenues stood at ₹16.92 crore with contribution from OEMs increasing 83 per cent compared to 79 per cent logged in same period last year.
Kishore Bhuradia, Chairman and Managing Director, said the funds from the IPO will give the much-required capital to grow the business at a faster pace in coming years and increase the volume of business.
The balance sheet will also get deleveraged as part of the proceeds from the IPO will be used to repay debt and finance costs will come down, he said.
Promoted by Kishore Bhuradia, Pranay Parwal and Anil Kumar Jain, Uniinfo Telecom has successfully implemented various projects and provides services for network survey and planning, installation and commissioning, network testing and optimisation in building solutions and WiFi, and managed services for network maintenance.
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