Afcons Infrastructure IPO: Afcons Infrastructure IPO Opens Soon at Rs 440-463! - Read Here

Afcons Infrastructure IPO: Afcons Infrastructure Ltd had finally declared the price band of its initial public offer, which will run between Rs 440 and Rs 463 per share. IPO will open for subscription from October 25, while the anchor bidding will commence one day in advance from October 24. The issue will close on October 29. This, in itself, will be an excellent investment opportunity for aspiring investors.
IPO Details and Shareholding Structure

The IPO comprises an issuance of a new equity share amounting to Rs 1,250 crores; in addition to this, there is an offer for sale of shares worth Rs 4,180 crores from its promoter, Goswami Infratech. The promoters hold a strong presence, with companies like Goswami Infratech, Shapoorji Pallonji and Company, Floreat Investments, Hermes Commerce, and Renaissance Commerce holding 99% of the company's stake, while the remaining 1% is held by public shareholders .
Uses of Proceeds from IPO

Afcons Infrastructure intends to use the funds attracted from fresh issue for long-term working capital worth Rs 320 crores and purchase of construction equipments worth Rs 80 crores. Debt repayment is also on the agenda through an amount of Rs 600 crores. The remaining has been kept in general corporate purposes.

Afcons Infrastructure IPO: Company Performance and Project Portfolio

Since fiscal year 2013, Afcons has successfully completed 79 projects worth Rs 56,305 crore from 17 countries. As on June 2024, it had 65 ongoing projects, valued at Rs 31,747 crore. Finances-wise, for fiscal year 2024, the bottomline was at Rs 449.7 crore with a growth of 9.5% YoY. Revenue from operations were up by 5% to Rs 13,267.5 crore.

The basis of allotment for the shares to be issued in the IPO will be finalized by 30th October and these equity shares will be credited to demat accounts on or by 31st October. The trading in Afcons Infrastructure IPO shares will open on BSE and NSE from November 4.

It has a set of leading book-running lead managers, including ICICI Securities, DAM Capital Advisors, Jefferies India, Nomura Financial Advisory, Nuvama Wealth Management, and SBI Capital Markets.