DCX Systems IPO Opens Today, Check Price Band & Other Details

DCX Systems opened its 3-day initial public offering (IPO) today, October 31, 2022. The IPO will be open till Wednesday, November 2, 2022. The company is one of the leading manufacturer of cables and wire harness assemblies.

DCX Systems has fixed the price band at Rs. 197 to Rs. 207 per share, with an issue size of Rs. 5000 mn. According to available information from the company, it has raised Rs. 225 crore from anchor investors days ahead of its initial share sale. The issue was quoting a grey market premium(GMP) of Rs. 70.

DCX Systems IPO comprises a fresh issue aggregating up to Rs. 400 crore, while the offer for sale (OFS) of up to Rs. 100 crore. Additionally, retail investors can bid for a minimum of 72 equity shares and in multiples of 72 equity shares thereafter.

DCX Systems Ltd. (DCX) is a Bengaluru-based company, primarily engaged in system integration and manufacturing of a comprehensive array of cables and wire harness assemblies, as well as kitting. DCX commenced operations in 2011, and over the years, has expanded its manufacturing capabilities and grown its order book. The company has a healthy order book of Rs. 25.63 bn as of June 2022. DCX has been a preferred Indian Offset Partner (IOP) for foreign original equipment manufacturers (OEMs)for executing defense manufacturing projects.

Suggesting investors to subscribe to the IPO, KR Choksey said, "We believe the company's long-term prospects are favorable, given its status as a preferred Indian Offset Partner (IOP) for foreign original equipment manufacturers (OEMs) for executing defence manufacturing projects. DCX enjoys long-standing relationship with its client base. The company has healthy return ratios and good earnings visibility going ahead. Valuation wise, DCX Systems is available at a discount to its listed industry peers. As a result of all these positive factors, we recommend investors to 'SUBSCRIBE' to the IPO of DCX Systems."