• Issue Size: It it is a fresh issue size of 36,99,200 equity shares of face value of Rs. 10 

• Price Range:The range of prices for each equity share is set from Rs.71 - Rs.75 per share.
• Issue Type: The IPO is a 100% book built issue type.
• Subscription date: The IPO subscription begins from 24th January, 2025 and ends on 28th January, 2025.
• Lot size: It is providing a lot size of 1600 
• Listing Date: The IPO is going to be listed on 31st January 2025.
• Stock Exchange: The IPO is going to be listed on BSE.(SME)

The Company vide this IPO seeks to utilize the net proceeds towards meeting capital requirements and using the proceeds for implementing corporate developments.

The table below (in lakhs) stipulates the restated Financial Information of the company over the last 3 fiscal years and up-till September 30, 2024.

The Engineering and Construction (E&C) industry is expected to increase given the growing industry of the Capital Goods manufacturing industry in India.

The engineering and the electric constitutes a primary percentage in the India’s industrial sector with increasing incorporation and expansion of domestic and foreign industries and factories etc. The electrical equipment market in India is projected to increase at CAGR of 9% and hit US$ 33.74 billion by 2025 and the Research and Development (R&D) sector is anticipated to hit US$ 63 billion by 2025.

The engineering sector has seen promising developments over the years with the central government contributing majorly towards its growth by allowing 100% foreign direct investments(FDI), custom duty exemptions, Major allocation of budget over the last financial years in Roads,Highways, Railways, pipelines and defence, promotion of trade and markets and many government schemes for urbanization etc. 

• The company is involved in the engineering and construction industry that offers its services to various Infra projects, water related projects, EPC projects etc. and has procured strategic projects with many big clients like State of Gujarat, Rajasthan etc and has catered to many big infra companies, private industries, municipalities, banks etc.

• The company since 2018 has completed over 16 projects accumulative a revenue of Rs. 13,209.82 lakhs and has at present has 37 ongoing projects totaling to Rs.41,034.41 lakhs (only Rs. 22,732.05 lakhs of revenue recognized as of September 30, 2024)
• The company is a government accredited Class ‘AA’ contractor that is a highest category for EPC Contracts with unlimited bidding capacity subject to fulfillment the tender conditions in the Irrigation division of Government of Gujarat and is an approved Electrical contractor in the state of Rajasthan.
• Some notable big projects completed by the company in the past are “Nal se Jal” scheme of the Government of India., ‘Quick Watering System’ for railways stations, installation of MS/DI/UPVC Pipelines in Gujarat etc.

• The company’s major revenue is generated from the state of Gujarat and Rajasthan accumulating up to 84.44% and 83.46% respectively. Any political, natural, economic or demographically changes in the region could adversely effect the business operations and financial conditions of the company.

• The company’s promoters and directors are facing certain tax proceedings and criminal litigation, any adverse outcome of these pending litigation may effect the business, resulting to loss of operations and financial condition.
• The company’s operations are largely dependent on third party manufacturers and suppliers of machine parts, capital items and materials for installation and implementation in its ongoing projects. Failure of these supplies on time may affect the time duration of the projects ultimately resulting to affect the business operations and financial conditions.
• The company primarily enters into time bound contracts with its clients and failure to complete these contractual projects on time may lead to contractual disputes exposing  the company’s liabilities ultimately leading to financial losses.
• The company has outstanding indebtedness to the tune of Rs 733.44 lakhs and unsecured loan amounting ₹ 410.26 as on September 30, 2024, failure to repay these loans if recalled on a short notice by its creditors or lenders may also affect the business operations and financial conditions of the company.
• This line of industry has significant competition with many big players already well established. This may result the company’s pricing pressures, reduced profit margins or lost market share or a failure to grow market share.

The EPC industry is projected to grow in India and the company’s potential since 2018 has been promising. It has completed 16 projects accumulative a revenue of Rs. 13,209.82 lakhs and are presently engaged with 37 ongoing projects across various regions of Maharashtra, Madhya Pradesh, Punjab and Chandigarh etc with major projects in Gujarat and Rajasthan.

The company has shown healthy profits over the last three fiscal years increasing from Rs.258.00 lakhs in 2022 to Rs.818.61 lakhs in 2024 (Rs. 333.89 lakhs as of September 30th 2024) and strives to become a prominent player in the Engineering and Construction Industry in India.

However, there are many competitions and big players in this line of industry as well and potential investors should outline the risks given in the RHP prospectus before investing.

The company with the help of this Initial Public Offering (IPO) aims to raise capital to meet its corporate working requirements and business developments.

The company has shown positive financial growth for the last three years and has procured many big projects across various states. The Indian government is significantly investing in developments and has seen an increase in foreign and domestic factories and industries etc. The company’s line of business in this EPC industry would potentially be fruitful for investors in the long run, but the prospective investors should also  carefully consider the company’s risk as outlined in the RHP draft prospectus before proceeding to invest.