InvestorQ : Can you tell me about the IPO of DCX Systems?
swati Bakhda made post

Can you tell me about the IPO of DCX Systems?

Sam Eswaran answered.
11 months ago

DCX Systems is based in Bengaluru and is engaged in system integration and manufacturing a wide array of cables and wire harness assemblies. It has just filed draft red herring prospectus (DRHP) with SEBI to raise a sum of Rs.600 crore via the IPO route. The IPO will comprise of a fresh issue of Rs.500 crore and an offer for sale (OFS) of Rs.100 crore. The company will also look at the possibility of a pre-IPO placement of shares.

DCX Systems plans to use part of the fresh funds to repay Rs.120 crore of loans. This is nearly 25% of the total debt in the books of the company. In addition, the company will also use Rs.200 crore for working capital needs while another Rs.45 crore will be deployed to finance its capital expenditure (capex). The issue will be managed by Edelweiss Financial, Axis Capital and Saffron Capital Advisors, acting as Book Running Lead Managers (BRLM).