Sat Oct 26 02:10:59 UTC 2024: **Summary of Afcons Infrastructure IPO News Article:**

– **IPO Details:** Shapoorji Pallonji’s Afcons Infrastructure Limited (AIL) launched its IPO on October 25, 2024, aiming to raise ₹5,430 crore. The IPO will close on October 29, 2024.

– **Investor Response:** The IPO saw a lukewarm response, with only 10% of shares subscribed on the first day. The QIB portion was just 1% subscribed, while the retail and non-institutional investors stood at 14% and 11%, respectively. Employee subscriptions reached 39%.

– **Grey Market Activity:** The grey market premium for the IPO dropped to ₹15 per share, indicating subdued interest. Shares were trading at ₹478 in the grey market, a 3.24% premium to the issue price of ₹463.

– **Issue Structure:** The IPO comprises a fresh component of ₹1,250 crore and an offer for sale (OFS) worth ₹4,180 crore, with a price band set between ₹440 and ₹463 per share.

– **Use of Proceeds:** Afcons plans to allocate ₹80 crore for capital expenditures, ₹320 crore for working capital, and around ₹600 crore for repaying outstanding borrowings, with the remainder for general corporate purposes.

– **Company Profile:** Established in 1959, Afcons operates in diverse sectors, including marine, transport, urban infrastructure, and oil and gas, and has 65 active projects across multiple countries, with a historical contract value of ₹56,305 crore.

– **Financial Performance:** For FY23, Afcons reported a revenue of ₹12,637.38 crore and a net profit of ₹410.86 crore, marking a 14.69% and 14.89% increase, respectively.

– **Listing Details:** Allotment of shares for the IPO is expected on October 30, 2024, with a listing date on BSE and NSE anticipated for November 4, 2024.

– **Promoters:** The company is primarily held by Goswami Infratech Private Limited, Shapoorji Pallonji and Company Private Limited, and Floreat Investments Private Limited, with a collective pre-issue holding of 99.48%.

– **Lead Managers:** The IPO is managed by book-running lead managers including ICICI Securities and SBI Capital Markets.

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