India News Get -BusinessAfcons Infrastructure IPO 2024; Price Band, Lot Size, GMP | Registration date
The initial public offering (IPO) of Afcons Infrastructure Limited, a company engaged in the transportation, construction, oil and gas sectors, will open on October 25. Investors will be able to bid on this issue until October 29. The company’s shares will be listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) on October 4.
The company wants to raise Rs 5,430 crore through this issue. For this, the company is issuing 2,69,97,840 new shares worth Rs 1,250 crore. While the existing investors of the company are selling 9,02,80,778 shares worth Rs 4,180 crore through an offer for sale i.e. OFS.
If you are also planning to invest money in it, we tell you how much you can invest in it.
What is the minimum and maximum amount that can be invested?
Afcons Infrastructure Limited has fixed the price band for this issue between Rs 440 and Rs 463 per share. Individual investors can bid on at least one lot, i.e. 32 shares.
If you are applying for 1 lot in the upper IPO price band of Rs 463, then you will have to invest Rs 14,816 for it.
At the same time, retail investors can apply for a maximum of 13 lots, or 416 shares. For this, investors will have to invest Rs 1,92,608 as per the upper price band.
35% of the issue reserved for individual investors The company has reserved 50% of the issue for Qualified Institutional Buyers (QIB). Apart from this, around 35% of the shares are reserved for retail investors and the remaining 15% are reserved for non-institutional investors (NII).
Afcon to spend Rs 600 crore for corporate purposes Among the funds raised through the new issue, up to Rs 80 crore will be used to purchase construction equipment, Rs 320 crore to finance working capital requirements and early or scheduled repayment of part of certain borrowings in courses contracted by the company and Rs 600 crore for general corporate purposes. Crores of rupees will be spent.
Afcon operates five major infrastructure companies:
Marine and industrial – This includes projects such as ports, dry docks, LNG tanks and material handling systems – This includes highways, interchanges, mining infrastructure and rail infrastructure – This includes construction works subways, bridges, viaducts and elevated corridors. . Hydroelectric and underground projects – This includes dams, tunnels and water-related projects. Oil and Gas – This includes offshore and onshore projects in the oil and gas sector.
AIL FY2023 Operating Revenue Rs 13,267.50 crore of rupees
AIL’s operating revenue is expected to increase from Rs 12,637.38 crore in FY 2023 to Rs 13,267.50 crore in FY 2024. During this period, the profit after tax of the business stood at Rs 449.74 crore, compared to Rs 410.86 crore in FY2023.
According to the Fitch report, among the country’s large infrastructure companies, Afcon leads in terms of return on capital employed (ROCE), i.e. return on cost and EBITDA margin. According to FY2024 data, the company leads in terms of return on equity (ROE) and profit after tax (PAT).
The company’s operating revenue for the quarter ending June 30, 2024 was Rs 3,154.36 crore and profit after tax was Rs 91.59 crore. According to data till June 30, 2024, Afcon Infrastructure’s order book stands at Rs 31,747.43 crore.
What is IPO? When a company issues its shares to the general public for the first time, it is called an initial public offering, i.e. an IPO. The company needs money to expand its business. In such a situation, instead of taking a loan from the market, the company raises funds by selling some shares to the public or issuing new shares. For this, the company brings an IPO.