Ganesh Infraworld IPO Day 1 Updates: Key Highlights, Subscription Status, & Insights

Ganesh Infraworld Limited, a construction and related services provider based in West Bengal, launched its initial public offering (IPO) today, November 29, 2024.

Ganesh Infraworld IPO Day 1 Subscription Status 

(November 29, 2024, End of Day)

On the first day of bidding, the Ganesh Infraworld IPO was subscribed 1.47 times the total shares available. The Non-Institutional Investors (NIIs) segment recorded a subscription of 1.24 times its allotted quota, while the Retail Investors category subscribed 2.42 times its allocation. The Qualified Institutional Buyers (QIBs) segment saw no subscriptions, with 0.00 times its share taken up.

IPO Details

• The Ganesh Infraworld IPO consists of 11,876,800 equity shares, aggregating up to ₹98.58 crores. The company has set a price band of Rs 78-83 per share for this initial public offering.
• The lot size is 1600 shares, and the minimum investment required by retail investors is ₹132,800. 
• The shares are proposed to be listed on the NSE SME.
• The IPO opened for subscription on November 29 and will close on December 3. Allotment for the Ganesh Infraworld IPO is expected to be finalized on Wednesday, December 4, 2024. The tentative listing date is Friday, December 6, 2024.
• Vivro Financial Services Private Limited is the book running lead manager for the IPO. Link Intime India Private Ltd is the registrar of the issue. Rikhav Securities is the market maker for the IPO.

Investor Category Shares Offered

Utilization of IPO Proceeds

Ganesh Infraworld plans to allocate Rs 70 crore from the net proceeds to meet long-term working capital requirements. This includes Rs 40 crore for FY 2024-25 and Rs 30 crore for FY 2025-26. The remaining funds will be used for general corporate purposes.

Company Overview

The company operates as a construction firm offering a wide array of construction and allied services across various sectors in India. These include industrial civil projects, residential and commercial buildings, road construction, railway infrastructure, power projects, and water distribution systems.

Specializing in integrated engineering, procurement, and construction (EPC) services, the company covers the entire construction value chain. Its services span planning, design, and construction, encompassing mechanical, electrical, civil, industrial, and allied services. Additionally, it handles the supply of materials required for project execution.

The company conducts its operations primarily through three key verticals: 

1. Civil and Electrical Infrastructure Projects 
2. Road and Rail Infrastructure Development Projects 
3. Water Infrastructure Development Projects. 

All these activities are managed under a single operating segment focused on engineering and construction.

Financials

• Reported revenue of Rs 239 crore in FY24, a 79.70% year-on-year gain from Rs 133 crore in the previous fiscal year.
• The company’s profit after tax also increased by 120% to Rs 11 crore in FY24 from Rs 5 crore in FY23.

Key Ratios

Disclaimer: Investing in SME IPOs involves a high degree of risk. Such investments may be suitable only for investors with a high-risk tolerance and the ability to bear potential losses. Perform thorough due diligence and consult a financial advisor before investing. Invest wisely and at your own discretion.