Issue Price:   Rs. 165
 
Listing Strategy:  Exit

The issue had seen a record subscription of 43.22 times in totality, with non-institutional investors and qualified institutional investor segments getting subscribed 106 times and 48.44 times, respectively. The retail investor portion was subscribed 11.08 times.

High client concentration, corporate governance issues and rising employee costs are the key concerns while the positive lies in the rising trend of bottom-line growth over the last two six month periods and presence in the Telecom space.

Notably, 87% of the company’s revenues are from the US, which is witnessing increasing resistance to outsourcing resulting in negative sentiment at IT counters post the IPO.

Investors may consider exiting at price up-moves and wait on the sidelines to further evaluate the company’s performance.

Company Background

ICSL provides Infrastructure Management, Intellectual Property (IP) leveraged solutions and IT services. With Telecom (contributing to 54% of total revenues) being the major focus area, the company also caters to Media, Technology, Manufacturing, and Healthcare industries.

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