The IPO of Ceigall India, a Ludhiana-based infrastructure company Ltd will open for public subscription on Thursday, August 1, 2024. It will remain open till August 5.
The price band has been fixed at Rs 380-401 per share. Allotment will take place on August 6.
The lot size is 65 equity shares with subsequent lots of 37 shares.
FPO of 1.42 crore shares
The IPO consists of a fresh issue of shares worth Rs 684.25 crore and an Offer For Sale (OFS) worth Rs 568.41 crore. As many as 1.42 crore equity shares will be offered for the FPO part from the shares of the promoters and individual selling shareholders.
The target is to raise a total of Rs 1,252.66 crore through this IPO.
Utilisation of proceeds
The IPO proceeds will be utilised for buying new equipment and retiring debts, while a portion will be used for general corporate purposes.
The company was set up in 2002. It has a track record of building bridges, flyovers, elevated roads, tunnels, railway over bridges, tunnels, expressways and runways.
Track record and order book
The company was awarded projects from organisations such as Indian Railway Construction International, Military Engineer Services and Bihar State Road Development Corporation.
Ceigall India’s order book is valued at Rs 9,470 crore in June 2024.
Profit making, fast growing
Ceigall India is a profit-making company. In FY24, its net profit stood at Rs 304.3 crore, which was almost 82% higher than that in FY23.
In FY24, the company clocked a revenue of Rs 3,029.35 crore – up 46.5% from Rs 2,068.17 crore recorded in FY23.
As claimed in its Red Herring Prospectus (RHP), Ceigall India is one of the fastest growing engineering, procurement and construction (EPC) companies in terms of three-year revenue CAGR as of FY24, among the companies with a turnover of over Rs 1,000 crore.
This Punjab-based company also has one of the highest year-on-year revenue growths of approximately 43.10 per cent in the previous fiscal year among its peers.
The company is promoted by Ramneek Sehgal, Ramneek Sehgal and Sons HUF, Avneet Luthra, Mohinder Pal Singh Sehgal, Parmjit Sehgal, Simran Sehgal. Apart from them, individual shareholder Kanwaldeep Singh Luthra is divesting his stake through this IPO.
(Disclaimer: This article is only meant to provide information. News9Live.com does nto recommend buying or selling shares or subscriptions of any IPO and Mutual Funds.)
This IPO opens for subscription on August 1, 2024. Infrastructure companies have got a boost from the first budget of the Modi 3.0 government. Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
