You are using an older browser version. Please use a supported version for the best MSN experience.

Tejas Networks shares rise 2.7% in stock market debut

LiveMint logoLiveMint 27-06-2017 Ami Shah

Mumbai: Shares of Tejas Networks Ltd rose marginally by 2.7% on debut on Tuesday. The Rs450 crore initial public offer (IPO) received a subscription of more than 1.88 times when it closed earlier this month.

Tejas Networks shares opened unchanged on the BSE at Rs257 apiece, compared to the issue price.

At 10.05am, Tejas Networks shares were up 2.7% at Rs263.90, while the benchmark 30-share Sensex traded 13% lower at 31,097.39 points. Earlier in the day, the shares touched a high of Rs264.10 and a low of Rs257, respectively.

On 13 June, the telecom equipment maker said it raised Rs349.5 crore by selling shares to investors as part of the so-called anchor book allocation.

Bengaluru-based Tejas Networks plans to use the proceeds for raising working capital, capex and for general purposes.

With a market share of 15%, Tejas Networks is the second-largest optical networking products company in India. Its revenue grew to Rs878 crore in FY2016 from Rs369 crore in FY2013, clocking a four-year compounded annual growth rate of 24.2%.

In 2016-17, it reported a net profit of Rs63 crore, against a loss of Rs79 crore in 2012-2013. Ebitda (earnings before interest, tax, depreciation and amortization) margins have also improved to 19.8% in fiscal year 2017 from 12% in fiscal year 2013.

More From LiveMint

image beaconimage beaconimage beacon