Esconet Technologies IPO: Delhi-based IT company files DRHP. Check details

Integrated IT solutions company Esconet Technologies has filed its draft red herring prospectus (DRHP) with NSE Emerge. The issue comprises a fresh issuance of 33.60 lakh equity shares with a face value of Rs 10 per equity share.

About Esconet Technologies
The New Delhi-headquartered company manufactures high-performance supercomputers, data servers and workstations, besides providing a comprehensive range of IT solutions to SMEs, large organisations, and public sector clients, including data storage, networks, security, virtualisation, and data protection.


The company boasts of clients, including the Ministry of Defence, National Informatics Centre (MeitY), IITs, Bharat Electronics Limited, ONGC, Engineers India Limited.

Esconet Technologies IPO lead managers
The company has appointed Corporate Capital Ventures as the book-running lead manager (BRLM) for the issue while Skyline Financial Services is the registrar.

Esconet Technologies net proceeds
According to the DRHP document, Esconet proposes to utilise Rs 16 crore of the IPO proceeds towards funding its long-term working capital requirements, besides investing Rs 2.5 crore in its wholly-owned subsidiary ZeaCloud Services Private Limited to reinforce its infrastructure by acquiring additional hardware and software, with a goal of bolstering capacity, elevating security measures, and enhancing overall monitoring capabilities. ZeaCloud operates its data centers in Noida and Mumbai.

The company is embarking on a transformative roadmap by integrating cutting-edge object storage into its infrastructure to bolster the immediate customer onboarding capabilities. Apart from fortifying the backup capabilities, this will establish ZeaCloud as a leading provider of advanced and versatile object storage solutions to its clientele.

Esconet Technologies promoters
The company was founded in 2012 by second-generation entrepreneurs Santosh Kumar Agrawal and Sunil Kumar Agrawal.

Esconet Technologies financials
Esconet reported a revenue of Rs 71.46 crore and earned a net profit (PAT) of Rs 3.05 crore during the first half of the current fiscal year, which ended on September 30, 2023. It had reported a revenue of Rs 96.90 crore and PAT of Rs 3.18 crore in FY 2022-23. A significant portion of the company’s revenue in the last three years was generated from government projects, a company release said.

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