C2C Advanced Systems IPO Overview
C2C Advanced Systems Ltd., a New Delhi-based defence solutions provider, is set to launch its Rs 99.07 crore IPO, which will be available for subscription from November 22 to November 26, 2024. The issue is entirely a fresh issuance of 43.84 lakh equity shares.

The IPO price band has been set between ₹214 to ₹226 per share, and the minimum application lot size is 600 shares, amounting to an investment of ₹135,600 for retail investors. High Net-Worth Individuals (HNIs) are required to invest in at least two lots (1,200 shares), which translates to ₹271,200.

The IPO is led by Mark Corporate Advisors Private Limited and Beeline Capital Advisors Pvt Ltd., with Link Intime India Private Ltd as the registrar, and Spread X Securities as the market maker. NSE SME will host the stock’s listing, expected on November 29, 2024.

About C2C Advanced Systems Ltd.
Operating in the strategic defence solutions industry, C2C Advanced Systems Ltd. specializes in defence technology solutions for areas such as power, radio frequencies (RF), radar systems, and embedded software. Known for its expertise in C4I (Command, Control, Communication, Computers, and Intelligence) systems, the company offers critical products for situational awareness, decision-making support, and AI/ML-based analytics. C2C's products also support enterprise integration of real-time data, which enhances situational response for defence operations.

Financial Highlights

C2C Advanced Systems has seen robust growth in revenue and profitability over recent years. In FY24, the company’s profit surged to Rs 12.3 crore, up from Rs 2.9 crore in FY23, while revenue grew from Rs 8.05 crore in FY23 to Rs 41.06 crore in FY24. The April-September period of FY25 showed continued strong performance with a profit of Rs 9.7 crore on revenue of Rs 43.2 crore.

Investment Highlights

1. Strong Order Book: The company had an order book of Rs 50.56 crore as of September 2024, reflecting strong demand for its products and services.
2. Growth-Oriented Use of IPO Proceeds: A substantial portion of the IPO proceeds, Rs 66.91 crore, is earmarked for capital expenditure, including fixed assets, office fit-outs in Bengaluru and Dubai, and working capital.
3. Rising Defence Technology Demand: As India strengthens its focus on self-reliance in defence technology, companies like C2C Advanced Systems are well-positioned for growth.

Utilization of IPO Proceeds
The company has a clear investment strategy for the IPO funds. Out of the Rs 99.07 crore, Rs 66.91 crore will go towards hardware and software purchases, fit-outs for new facilities in Bengaluru and Dubai, and a security deposit for the Bengaluru location. The rest of the proceeds will address working capital needs and general corporate purposes.

Competitive Landscape
C2C Advanced Systems primarily competes with Paras Defence and Space Technologies, a listed entity in the defence solutions sector. C2C’s niche expertise in C4I systems, real-time data integration, and embedded/FPGA designs gives it a competitive edge in meeting the complex demands of modern defence infrastructure.

IPO Reservation Structure
In its allocation, 50% of the shares are reserved for qualified institutional buyers (QIBs), 35% for retail investors, and 15% for non-institutional investors (NIIs).

Investment Potential
With a focus on the defence sector and an emphasis on technology-driven solutions, C2C Advanced Systems Ltd. presents an attractive investment proposition. Its financial growth, order book strength, and strategic spending plan align with India's expanding defence infrastructure and emphasis on indigenous technology.

Long-Term Prospects
The IPO is an important step in C2C Advanced Systems' growth strategy. The proceeds will empower the company to expand its technology capabilities, increase production, and fulfill existing and future contracts. Given the strong financial performance and rising defence technology needs, the C2C Advanced Systems IPO is expected to garner significant investor interest.

The Upcoming IPOs in this week and coming weeks are Lomosaic India, C2C Advanced System, Rosmerta Digital, NTPC Green, Avanse Financial and Nisus Finance.

The Current active IPO are Zinka Logistics Solution (Black Buck), and Onyx Biotec.

For more insights into financial trends , visit our Top News Headlines. You can also explore investment opportunities in the market and apply for upcoming IPOs through our Best IPO to Apply Now section.