SRM Contractors Limited

SRM Contractors IPO

SRM Contractors Limited

₹14,000 /70 sharesMinimum investment

IPO details

Minimum investment
₹14,000
Price range
₹200 - ₹210
Lot size
70
Issue size
130.20 Cr
Face value
10
IPO document

Subscription rate

Qualified Institutional Buyers59.59x
Non-Institutional Investor179.60x
Retail Individual Investor46.97x
Total86.57x
As of 28 Mar'24, 05:00 PM

Schedule

26 Mar 2024
IPO open date
28 Mar 2024
IPO close date
1 Apr 2024
Allotment date
1 Apr 2024
Funds unblock or debit
3 Apr 2024
Tentative listing date

About

SRM Contractors Limited is an engineering construction and development firm that undertakes civil construction activities. It is involved in constructing roads, including bridges, tunnels, and slope stabilization works. The company serves as an EPC contractor and offers item rate-based services for infrastructure projects, along with undertaking subcontracting assignments. It primarily operates in the Union Territories of Jammu & Kashmir and Ladakh. The company operates through these main business verticals, road projects, tunnel projects and slope stabilization works. It also undertakes other miscellaneous civil construction activities: such as drainage works and construction of government housing and residential units.;
Founded in
2008
MD/CEO
Mr. Sanjay Mehta
Parent organisation
SRM Contractors Limited

SRM Contractors Financials

Revenue
Total Assets
Profit
All values are in ₹ Cr
160264300202120222023

Strengths & Risks

Strengths
Risks
Since its establishment, the company has completed 37 infrastructure construction projects, either independently or through project-specific joint ventures. These projects, with an aggregate contract value of Rs. 770.8 cr, consist of 31 road projects, 3 tunnel projects, 1 slope stabilization work, and 2 other miscellaneous civil construction activities.
As of September 15, 2023, the company owns and maintains 227 equipment and machinery, including 7 hot mix plants, 6 stone crushers, 21 excavators, 18 backhoe loaders, 42 tippers/dumpers, 3 boomers, 3 shotcrete machines, 7 hot bitumen pressure distributors, 3 wet mix macadam plants, 7 tandem roller compactors, 5 road rollers, 7 pavers, 4 graders, etc.
The company reported revenue from operations of Rs. 300.29 cr in Financial Year 2023, Rs. 263.61 cr in Financial Year 2022, and Rs. 160.06 cr in Financial Year 2021, reflecting 13.91% year-on-year growth in Financial Year 2023 and 63.60% year-on-year growth in Financial Year 2022. The company reported Profit after tax of Rs. 8.27 cr, Rs. 17.57 cr, and Rs. 18.75 cr in FY 2021, 2022 and 2023 respectively.
The company's operations are primarily focused in the Union Territory of Jammu & Kashmir and Ladakh, thus exposing it to risks stemming from economic, regulatory, and other fluctuations within these regions.
A substantial portion of the company's revenues is derived from a small number of clients. For FY 2022-23, the company’s Top 5 clients contributed 71.66% of its revenues and the Top 10 clients contributed 92% of its revenues.
The company's business operations are working capital intensive and often entail lengthy implementation periods. Significant financing is necessary to support these operations. The level of indebtedness and the terms and limitations set forth in financing agreements could potentially hinder the company's ability to carry out its business activities effectively.
The company, along with its promoters, directors, and joint ventures, is involved in litigation proceedings that pose the risk of material adverse outcomes.
The company relies on its subcontractors to execute various aspects of the contracts it receives. This dependency subjects the company to risks associated with the availability and performance of its subcontractors.

Application details

For SRM Contractors IPO, eligible investors can apply as Regular.

Apply asPrice bandApply rangeLot size
Regular₹200 - ₹210Upto ₹2 Lakhs70
High Networth Individual₹200 - ₹210₹2 - ₹5 Lakhs70

Frequently Asked Questions