Ecos (India) Mobility & Hospitality is primarily engaged in the business of providing chauffeured car rentals (“CCR”) and employee transportation services (“ETS”) and have been providing these services to corporate customers, including Fortune 500 companies in India, for more than 25 years.

Ecos Mobility, an Book Built Issue amounting to ₹601.2 crores, consisting entirely an Offer for Sale of 18.00 Lakh Shares. The subscription period for the Ecos Mobility IPO opens on August 28, 2024, and closes on August 30, 2024. The allotment is expected to be finalized on or about Tuesday, September 3, 2024, and the shares will be listed on the BSE NSE with a tentative listing date set on or about Wednesday, September 4, 2024.

The Share price band of Ecos Mobility IPO is set at ₹318 to ₹334 equity per share, with a minimum lot size of 44 shares. Retail investors are required to invest a minimum of ₹14,696, while the minimum investment for High-Net-Worth Individuals (HNIs) is 14 lots (616 shares), amounting to ₹205,744.

Equirus Capital Private Limited and IIFL Securities Limited are the book-running lead manager, Link Intime India Private Limited is the registrar for the Issue. 

Ecos (India) Mobility & Hospitality Limited IPO GMP Today
The Grey Market Premium of Ecos Mobility Limited IPO is expected in the range of ₹100 to ₹110 based on the financial performance of the company. No real trading is done on the basis of Grey Market Premium that's why no real discovery of price can be done before the listing of shares on the stock exchange. The Grey Market Premium totally depends upon the Demand and Supply of the shares of the company in unorganized manner which is not recommended. The Grey Market Premium is mentioned for educational and informational purposes only.

Ecos (India) Mobility & Hospitality Limited IPO Allotment Status
Ecos Mobility IPO allotment date is 3rd September, 2024, Tuesday. Ecos Mobility IPO Allotment will be out on 3rd August 2024 and will be live on Registrar Website from the allotment date. Check Ecos (India) Mobility & Hospitality Limited IPO Allotment Status here. Here's how you can check the allotment status:
- Navigate to the IPO allotment status page.
- Select Ecos Mobility Limited IPO from the dropdown list of IPOs.
- Enter your application number, PAN, or DP Client ID.
- Submit the details to check your allotment status.
By following either of these methods, investors can quickly determine their allotment status and proceed accordingly with their investments.

Objectives of Ecos (India) Mobility & Hospitality Limited IPO
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.

Refer to Ecos (India) Mobility & Hospitality Limited RHP for more details about the Company.

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About Ecos (India) Mobility & Hospitality Limited

Ecos (India) Mobility & Hospitality is the largest and most profitable chauffeur driven mobility provider to corporates in India, in terms of revenue from operations and profit after tax for Fiscal 2023. They are primarily engaged in the business of providing chauffeured car rentals (“CCR”) and employee transportation services (“ETS”) and have been providing these services to corporate customers, including Fortune 500 companies in India, for more than 25 years. In Fiscal 2024, they provided CCR and ETS to 42 Fortune 500 companies and 60 BSE 500 companies, among others, in India. The CCR segment is a B2B2C business, where their customers are corporate companies, and the end consumer is an employee, client, guest or visitor of these corporate companies. Through their ETS segment, they offer customers with solutions to manage their employee home-office-home ground transportation. As of March 31, 2024, they have a pan-India presence in 109 cities through their own vehicles and vendors, spread across 21 states and four union territories in India which underscores their deep rooted and extensive footprint and demonstrates their penetration into diverse regions across India. Their operations in 97 cities in India are conducted through vendors. In Fiscal 2024, they serviced the CCR and ETS requirements of more than 1,100 organisations in India. In Fiscal 2024, through their CCR and ETS segments, they have completed more than 3,100,000 trips averaging at more than 8,400 trips in a day. They also address the global car rental requirements of their corporate customers, through their global network of vendors with their capability of providing CCR services in over 30 countries. They also provide cars of self-drive basis in the cities of Delhi, Gurugram, Mumbai and Bengaluru. They have also provided self-drive cars outside India through vendors.

They operate a fleet of more than 12,000 economy to luxury cars, mini vans and luxury coaches. They also provide specialty vehicles such as luggage vans, limousines, vintage cars and vehicles for accessible transportation for people with disabilities. They have increased their focus on premium vehicles due to increasing customer preference for premium vehicles and the number of CCR bookings for premium vehicles in their fleet has increased from 60,979 bookings, constituting 28.53% of their CCR bookings in Fiscal 2022 to 168,261 bookings constituting 35.46% of their bookings in Fiscal 2024. They operate their fleet of vehicles on an asset light model, where they strive to keep the number of the vehicles which they own in their fleet significantly lower than the vehicles which are sourced from their vendors.

LIGHT VEHICLE MOBILITY MARKET
The Indian light vehicle mobility market is divided into the Personal and Cab segments. The “Cab segment” which is the focus of this report, refers to a mobility model where a single vehicle, owned by a specific firm or entity, is utilized to transport multiple users. In this arrangement, the vehicle serves as a shared resource, catering to the transportation needs of various individuals or customers. The cab segment is further divided into Retail, i.e., Business to Consumer(B2C) and Corporate i.e., Business to Business(B2B) categories. 

CORPORATE MOBILITY MARKET ANALYSIS
The Indian transportation landscape is experiencing significant shifts, with the ETS and CCR markets showcasing distinct growth trajectories while responding to diverse economic, regulatory, and technological forces.

The employee transportation service market, is estimated to have generated a revenue of ₹503.5 billion ($6.1 billion) as of CY2023, and it exhibits steady expansion growing in line with development of corporates such as IT, Global Capability Centers (GCC) segments etc. It is expected to grow at a CAGR of 11.8% to reach ₹1097.6 billion ($13.2 billion) revenue in CY2030. This aligns with India's growing economy, the rise of the organized sector, and increasing employee expectations for convenient commutes. The corporate car rental market, estimated at ₹392.4 billion ($4.7 billion) in CY2023, experiences healthy growth fueled by factors like increasing business travel needs, focus on employee well-being, and demand for premium services. It is estimated to grow at a CAGR of 9.3% to reach annual revenue of ₹731.8 billion ($8.8 billion) by CY2030.

The ETS market caters primarily to corporates, particularly in tier-1 cities, with pricing models varying based on vehicle type, route distance, and service customization. Common models include per-employee, per-trip, and fixed monthly charges. The CCR market targets a niche segment seeking premium services, including corporates for executives and clients, individuals for special occasions, and tourists. Hourly rates, fixed fares, and package deals are prevalent pricing models in this segment. 

India's economic growth and rising disposable incomes are key drivers for both markets. Regulatory factors also play a crucial role. The easing of permit regulations and the introduction of online aggregator platforms have facilitated market expansion. Nonetheless, concerns regarding vehicle licensing and driver training persist, requiring policy interventions for sustainable growth. 

Technology-led advancements reflected in the form of electric vehicles (EVs) and ride-hailing apps are influencing both markets. ETS providers are exploring EVs to reduce operational costs and environmental impacts. 

While both markets will experience growth, ETS caters to broader needs, leading to its faster growth rate. Similarly, CCR caters to a growing business travel segment, which is looking for better convenience, reliability and comfort as compared to app-based aggregator taxi services, resulting in healthy growth forecast. Both markets face competition from other mobility solutions like public transportation, ride-hailing, self-drive car rental etc.

A comparative examination of corporate mobility access in relation to the employed population (refer exhibit 21) at a national level indicates that India has approximately 546 employees with access to one car for corporate mobility (employees per commercial vehicle). In contrast, figures for regions like China, the US, and Europe stand at 372, 36, and 10 employees per car, respectively. This disparity highlights the vast potential for growth in India's corporate mobility sector. Organized players in this market are well-positioned to capitalize on this under-penetration and cater to the growing demand for efficient and reliable employee transportation solutions.

RETAIL MOBILITY MARKET ANALYSIS
The retail mobility market is categorized into three segments names retail car rental, self-drive car rental, and ridehailing. 
The retail car rental business is estimated at ₹336.8 billion ($4.1 billion) in CY2023, while the ride-hailing business dominates the retail mobility segment. Retail car rental is expected to post a tremendous growth of 9.2% CAGR between CY2023 and CY2030 to hit ₹623.1billion ($7.5 billion) annual revenue. This reflects a continued preference for the convenience and status associated with chauffeur-driven services, particularly among retail travelers and highnet-worth individuals.

In stark contrast, the self-drive car rental segment is nascent, contributing a mere ₹8.1 billion ($0.10 billion) in CY2023. Its lower penetration highlights limited awareness and affordability concerns. However, rising car ownership, coupled with growing millennial demand for flexibility and independence, presents potential for significant future growth to reach ₹33.7 billion ($0.41 billion) by CY2030. 

The ride-hailing segment which dominates the retail mobility market was valued at ₹534.4 billion ($6.6 billion) in CY2023 and is set to grow at a CAGR of 3.2% between CY2023 and CY2030 to hit ₹675.6 billion ($8.1 billion). While affordability and convenience fuel its popularity, regulatory hurdles, and intense competition limit explosive growth. The emergence of bike-sharing and e-rickshaws further adds to the competitive landscape. Compared to the explosive growth witnessed pre-pandemic, trends indicate saturation within this segment. 

India's robust economic growth and rising disposable incomes are key drivers of the B2C mobility market. Regulatory changes like simplified licensing for taxis and bike-sharing platforms could further impact growth. Technology also plays a crucial role, with mobile apps streamlining booking and payment processes. 

Understanding target segments is crucial. Retail car rental caters to value and reliability, while self-drive car rental targets budget-conscious travelers and urban populations. Ride-hailing services appeal to an on demand broader audience, with varying pricing models catering to price conscious customers.

ECOS (INDIA) MOBILITY & HOSPITALITY LIMITED STRENGTHS
1. India’s largest and most profitable chauffeur driven mobility provider in a chauffeur driven mobility provider market in terms of revenue from operations and profit after tax for Fiscal 2023
2. Long-standing customer relationships with business synergies across business segments
3. Pan-India presence with operations in 109 cities in India
4. Established brand built over years through operational excellence
5. Comprehensive technology ecosystem enabling operational superiority
6. Robust financials with consistent performance

ECOS (INDIA) MOBILITY & HOSPITALITY LIMITED STRATEGIES
1. Expanding their presence in Tier-II and Tier-III cities in India and increasing their penetration in cities with existing operations
2. Acquisition of new customers and increasing revenue from existing customers and expanding their sales team
3. Continue to focus on technology to ensure operational excellence
4. Continue focus on building their brand through their brand building strategies and focus on operational excellence.
5. Expanding their geographical footprint globally
6. Leverage their position in the chauffeur driven mobility provider industry to capitalize on the growth in the industry which will drive their next phase of growth

ECOS (INDIA) MOBILITY & HOSPITALITY LIMITED RISK FACTORS & CONCERNS
1. They derive a significant part of their revenue from some customers, and they do not have long term contracts with all of these customers.
2. Any downturn in Global capability centres (“GCC”) would create an adverse impact on their revenue from customers in the ETS business segment, cash flows and financial conditions.
3. They incur significant expenditure towards their vendors and vehicle operation expenses.
4. They generate a significant percentage of our revenue from operations from customers in major cities in India.
5. Chauffeur shortages and increases in chauffeur compensation could adversely affect the Company’s profitability and ability to maintain or grow its business.
6. The employee transportation market caters primarily to corporates particularly in tier-1 cities and not in tier-2 and tier-3 cities in India.
7. Some of their contracts are awarded to them through a competitive bidding process.
8. Any change in the automotive industry, development of public transportation infrastructure, car rental industry, worldwide travel and tourism industry and its ancillary industries can impact their business.
9. They are subject to risks associated with expansion into new geographic regions within India and global expansion.
10. The business is dependent on the road network in India and their ability to utilise their fleet in an uninterrupted manner.