Rama Telecom IPO: Price, Allotment, And GMP

Rama Telecom IPO- Complete Overview

Rama Telecom IPO under the SME IPO category is a bookbuild issue of Rs. 25.13 Cr by Rama Telecom Limited. It was established in July 2004, specialising in providing customised E2E networking solutions within the Telecom and Datacom sectors.

The company leverages its expertise in laying optical fibre infrastructure to serve clients such as the Indian Railways, Airtel, IOCL, and the Airport Authority of India. The company's projects focus on sustainable methods to deliver seamless networking professional quality within the industry.

Horizontally aligns with direction drilling-based technologies for telecom structure-related projects, Raja Telecom undertakes HDDs, OFCs laying, and blowing services. In order to strengthen its service offerings, Rama Telecom collaborates with different OEMs and distributors like Nokia, D-Link, Tejas Networks, Exide, among others.

Rama extends its business ventures into developing infrastructure, engaged in installing and maintaining wireless communication networks, as well as broadband fibre optic network connections.

Services Offered:

Optical Fibre Cable (OFC) Laying & Maintenance - Having mastered precision techniques, HDDs, micro trenching, and mole, Rama Telecom updates maintenance servicing operations at laying and maintenance of telecommunication zones.

Network Planning & Design - They create bespoke engineering planning to ensure that telecommunications are efficient and scalable for iterative agility, thus easier for the customers, fulfilling their immensely particular needs.

Installation & Commissioning - Rama Telecom provides complete services for the installation of telecom equipment and facilities, including mobile towers, switching systems, as well as transmission networks.

Turnkey Project Management - The company manages comprehensive, large-scale projects from beginning to end within the agreed timelines and at minimised costs.

Data Communication Solutions - Rama Telecom significantly enhances the distribution of broadband and high-speed internet across India.

 

 

Rama Telecom IPO Overview

The Rama Telecom IPO date is on 25 June 2025, and its initial public offering will end on 27 June 2025. 

The Rs. 25.13 crore new SME IPO comprises a wholly fresh issue of 36.96 lac Shares. The Rama Telecom IPO price is Rs. 65 to Rs. 68 for each Share. 

The Rama Telecom IPO listing date (expected) is Wednesday, Jul 02, 2025, and listing at the NSE and SME.

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Company Financial

(Amount in Cr)

Period	31 Mar 2025	31 Mar 2024	31 Mar 2023
Total Assets	28.65	19.44	16.41
Total Revenue	42.47	37.48	33.22
PAT	5.53	2.61	1.08
Net Worth	16.46	9.53	6.92
Reserves & Surplus	6.96	9.38	6.76
Borrowings	5	4.64	3.96

 

Cash Flows

(Amount in lac)

Net Cash Flow in Multiple Activities	31 Mar 2025	31 Mar 2024	31 Mar 2023
Net Cash Flow Operating Activities	12.15	82.28	(140.94)
Net Cash Flow Investing Activities	(276.45)	178.98	(169.43)
Net Cash Flow Financing Activities	126.08	9.43	133.39

 

Revenue Bifurcation

Segment-wise Revenue Bifurcation

(Amount in lac)

Category-wise Revenue Bifurcation

(Amount in lac)

Geography-wise Revenue Breakdown

(Amount in lac)

(Source: RHP)

 

 

The Objective of the Issue

The company desires to use the Net Proceeds from the Issue to fulfill its following goals:

• Financing the company's working capital needs.

• To cover capital expenditures.

• To cover the costs associated with the offer.

• General corporate purposes.

 

Click to check the IPO application status.

Peers of Rama Telecom Ltd.

Company Name	Face Value (Rs.)	EPS (Rs.)	P/E (x)
Sar Televenture Limited	2	13.85	19.04

 

Evaluation

The Rama Telecom Limited IPO price is Rs. 65 to Rs. 68 for each Share.

Evaluation of P/E Ratio

Considering the FY ended 31 Mar 2025 with an EPS of Rs. 5.85 from the last year, the resulting P/E ratio is 11.63x.

Considering the weighted EPS of Rs. 4.04 for the last three years, the P/E ratio is 16.83x.

Explore the Icon Facilitators IPO.

Comparative Analysis With Listed Peers

The average P/E Ratio of the industry is 35x.

Particulars	P/E Ratio (x)
Highest	66
Lowest	10
Average	35

In simple words, the P/E ratio of this IPO is 11.63x, compared with the industry’s average P/E of 35x, indicating an undervaluation (on a P/E ratio basis only). Hence, the price of the Share seems fairly priced for the investors when considered based on the average P/E ratio of the industry.

IPO's Strengths

• Collaborates with top companies in the sector, such as Tata Communications, Vodafone Idea, BSNL, Airtel, and Reliance Jio.

• All regions of India are served by this nationwide telecom service provider.

• Provides enterprise data centre solutions and cloud services.

• Delivers bespoke telecoms services of superior quality calibrated to customer requirements.

 

IPO’s Weaknesses

• A considerable amount of revenue for this company comes from government contracts and some other key clients. Losing these relationships or being unable to secure future tenders may harm the company’s business opportunities and financial health.

• Its operations involve physical hazards that pose risks, such as losing revenue and increasing overall expenditures.

• The company deals with issues of payment delays or defaults by clients, which affect cash flow. This affects the procurement of materials for manufacturing as well as paying due amounts on time.
  
  

Rama Telecom IPO GMP

Rama Telecom IPO GMP is Rs. 4 as of 23 Jun 2025 while writing this information. Hence, its expected listing price is Rs. 72.

 

 

IPO Timetable (Tentative)

The Rama IPO date of opening is from Jun 25 to Jun 27, 2025, allotment on Jun 30, refund initiation on Jul 01, and listing on Jul 02, 2025.

Events	Date
IPO Opening Date	Jun 25, 2025
IPO Closing Date	Jun 27, 2025
IPO Allotment Date	Jun 30, 2025
Refund Initiation	Jul 01, 2025
IPO Listing Date	Jul 02, 2025

 

Rama Telecom IPO Details 

The IPO with a Face Value of Rs. 10 per share offers a total issue size of 36,96,000 Shares (Rs. 25.13 Cr) with a market maker portion of 1,86,000 Shares (Rs. 1.26 Cr).

IPO Opening & Closing Date	25 Jun, 2025 to 27 Jun, 2025
Face Value	Rs. 10 per Share
Issue Price	Rs. 65 to Rs. 68 per Share.
Lot Size	2000 Shares
Issue Size	36,96,000 Shares (Rs. 25.13 Cr)
Offer for Sale	-
Fresh Issue	36,96,000 Shares (Rs. 25.13 Cr)
Listing at	NSE, SME
Issue Type	Book Built Issue
Registrar	Cameo Corporate Services Limited

IPO Lot Details 

The IPO allows retail investors to invest in a minimum and maximum of 1 Lot (2000 Shares) amounting to Rs. 1,36,000 and in multiples thereof, while for HNI investors, the minimum Lot is 2 (4000 Shares) amounting to Rs. 2,72,000.

Minimum Lot Investment (Retail)	1 Lot
Maximum Lot Investment (Retail)	1 Lot
HNI (Min)	2 Lots

 

IPO Reservation (% of Net Issue)

Institutional’s Portion	19.91%
Retail’s Portion	52.49%
Non-Institutional Portion	22.56%

 

 

Promoters And Management of Rama Telecom Ltd.

• Mr. Rama Kant Lakhotia

• Mrs. Neena Lakhotia

• Ms. Nikita Lakhotia

• Ms. Simran Lakhotia

Pre-Issue Promoter Shareholding	98.98%
Post-Issue Promoter Shareholding	-

 

IPO Lead Managers

• Affinity Global Capital Market Private Limited.
  
  

Dividend Policy

The company has not adopted a dividend policy yet.

 

Conclusion

The Rama Telecom IPO is an opportunity to invest in a company that has a firm and expanding foothold within the country’s telecom infrastructure sector. The investment is particularly appealing for value-oriented investors in the telecom market. The sponsorship by government contracts poses considerable risks for the company.

 

Finowings IPO Analysis

Hope you enjoyed the Finowings IPO Analysis. We tried our best to give every required detail about the company that you should know before applying to the IPO. 

You must consult your financial advisor before making any financial decisions. 

To Apply for the IPO, Click Here.

To Read the Prospectus of the Company Click Here to Download the DRHP.

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DISCLAIMER: This blog is NOT any buy or sell recommendation. No investment or trading advice is given. The content is purely for educational and information purposes only. Always consult your eligible financial advisor for investment-related decisions.