Chauffeur-driven mobility provider Ecos (India) Mobility & Hospitality Ltd has filed preliminary papers with capital markets regulator SEBI to garner funds through an initial public offering (IPO).
The maiden public issue is entirely an offer for sale (OFS) of 1.8 crore equity shares by promoters — Rajesh Loomba and Aditya Loomba — with no fresh issue component, according to the draft red herring prospectus (DRHP) filed on Thursday.
At present, promoters and promoter group entities hold 100 per cent stake in the company.
Since it is an OFS, the Delhi-based firm will not receive any proceeds from the IPO and the money will go to the promoters selling shares.
The company has been providing chauffeured car rentals (CCR) and employee transportation services (ETS) to corporate customers for more than 25 years. It operates a fleet of more than 9,000 vehicles from economy to luxury cars. It also provides specialty vehicles such as luggage vans, limousines, vintage cars and vehicles for accessible transportation for people with disabilities.
The global corporate mobility market (including ETS and CCR) is poised for a steady growth at a projected CAGR (compound annual growth rate) of 9.6 per cent from 2023 to 2030. Besides, India is set to lead the global corporate mobility market in terms of growth with a projected CAGR of 10.7 per cent from 2023 to 2030, the draft paper cited a F&S Report.
Equirus Capital and IIFL Securities are the book running lead managers to the issue.