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03 June 2024

3C IT Solutions & Telecoms Limited IPO

3C IT Solutions is an established IT systems integration company operating for the past 8 years. The company operates with a vision to provide competitive IT system integration capabilities endeavouring to use best-in-class technologies and hence bring significant value to the stakeholders. The aim is to create a well-respected, highly skilled and professional workforce that can serve the diverse technology needs of the businesses as their service portfolio comprises several IT-related services that cater to the needs of the customers. Their service offerings are spread across the spectrum of various IT services and solutions such as infrastructure solutions, digital business solutions and consulting solutions. 3C IT IPO is a fixed price issue of Rs 11.44 crores.

The issue is a combination of a fresh issue of 17 lakh shares aggregating to Rs 8.84 crores and an offer for sale of 5 lakh shares aggregating to Rs 2.60 crores. 3C IT IPO opens for subscription on June 4, 2024 and closes on June 7, 2024. The allotment for the 3C IT IPO is expected to be finalized on Monday, June 10, 2024. The 3C IT IPO will be listed on BSE SME with a tentative listing date fixed as Wednesday, June 12, 2024. 3C IT IPO price is ₹52 per share. The minimum lot size for an application is 2000 Shares. Kreo Capital Private Limited is the book-running lead manager of the 3C IT IPO, while Skyline Financial Services Private Ltd is the registrar for the issue. The market maker for the 3C IT IPO is Shreni Shares.

3C IT IPO Overview

Detail	Description
IPO Date	June 4, 2024 to June 7, 2024
Listing Date	[.]
Face Value	₹5 per share
Price Band	₹52 per share
Lot Size	2000 Shares
Total Issue Size	2,200,000 shares (aggregating up to ₹11.44 Cr)
Fresh Issue	1,700,000 shares (aggregating up to ₹8.84 Cr)
Offer for Sale	500,000 shares of ₹5 (aggregating up to ₹2.60 Cr)
Issue Type	Fixed Price Issue IPO
Listing At	BSE SME
Share holding pre issue	4,320,000
Share holding post issue	6,020,000
Market Maker portion	112,000 shares Shreni Shares

3C IT IPO Timeline (Tentative Schedule)

Detail	Description
IPO Open Date	Tuesday, June 4, 2024
IPO Close Date	Friday, June 7, 2024
Basis of Allotment	Monday, June 10, 2024
Initiation of Refunds	Tuesday, June 11, 2024
Credit of Shares to Demat	Tuesday, June 11, 2024
Listing Date	Wednesday, June 12, 2024
Cut-off time for UPI mandate confirmation	5 PM on June 7, 2024

3C IT IPO Lot Size

Application	Lots	Shares	Amount
Retail (Min)	1	2000	₹104,000
Retail (Max)	1	2000	₹104,000
HNI (Min)	2	4,000	₹208,000

3C IT IPO Reservation

Investor Category	Shares Offered
Retail Shares Offered	50% of the net offer
Other Shares Offered	50% of the net offer

3C IT IPO Promoter Holding

Share Holding Pre Issue	72.00%
Share Holding Post Issue	51.66%

Company & Financials

Incorporated in 2015, 3C IT Solutions & Telecoms (India) Limited is an IT systems integration company. The company offers various IT products and services bifurcated under 3 segments i.e. Infrastructure solutions, Digital business solutions and Consulting solutions to meet the client requirements.
The company's product and services portfolio includes:

● Infrastructure solutions: End User and Devices, Device Configuration, Data Protection, Computer Accessories, Networking Solutions, IT Security Solutions and Audio Video Solutions.
● Digital business solutions: MDM- Mobile Device Management, Project Management Tools, Collaboration Software, Video Conferencing Tools, Sales Enablement Software, Cloud Implementation Services and more.
● Consulting solutions: Facility Management System (FMS) Solutions, IT Infrastructure Renting Solutions, remote infrastructure management solutions, Multibrand Hardware Break-Fix Service and more.

3C IT Solutions & Telecoms (India) Limited Financial Information

Period Ended	31 Dec 2023	31 Mar 2023	31 Mar 2022	31 Mar 2021
Assets	1,898.43	2,886.14	3,465.47	1,835.90
Revenue	2,355.66	6,293.48	6,694.11	4,063.52
Profit After Tax	50.52	113.62	110.90	85.93
Net Worth	460.26	409.73	260.65	149.75
Reserves and Surplus	244.26	373.73	259.65	148.75
Total Borrowing	592.43	1,339.76	1,040.20	398.22
Amount in ₹ Lakhs

Key Performance Indicator

KPI	Values
RoNW	10.98%
P/BV	4.88
PAT Margin (%)	2.17

	Pre IPO	Post IPO
EPS (Rs)	8.87	1.12
P/E (x)	5.86	46.47

Objectives of 3C IT IPO

The company proposes to utilize the Net Proceeds from the Fresh Offer towards funding the following objectives:

1. Funding Working Capital Requirements of the Company
2. Repayment/ Prepayment of Certain Borrowings availed by the Company
3. General corporate purposes

3C IT Limited IPO Review

The company is operating in a highly competitive and fragmented segment of IT system integration solutions service. It posted inconsistency in its top and bottom lines for the reported periods. Based on FY24 annualized earnings, the issue appears aggressively priced. Tiny equity capital post-IPO indicates longer gestation for migration to the mainboard. There is no harm in skipping this risky bet.

FAQs for 3C IT Limited IPO

What is the issue size of the 3C IT Solutions and Telecoms (India) Ltd IPO?

The issue size of the 3C IT IPO is Rs. 11.44 cr.
When will the 3C IT IPO allotment status be?

The 3C IT IPO allotment status will be available on or around June 10, 2024. The allotted shares will be credited to the demat account by June 11, 2024.
When will the 3C IT IPO be listed?

The 3C IT IPO list date is not yet available. The 3C IT IPO is planned to be listed on June 12, 2024, at BSE SME.
What is the minimum lot size required for 3C IT Solutions and Telecoms (India) Ltd IPO?

3C IT IPO price is ₹52 per share. The minimum lot size for an application is 2000 Shares.