Initial Public Offering of Jodhpur-based Vishnu Prakash R Punglia Limited is an integrated Engineering, Procurement and Construction (“EPC”) company, which specializes in water supply projects (WSP) was subscribed 10.63 times on the second day of bidding.
The issue received bids of 23,30,69,850 shares against the offered 2,19,30,000 equity shares, at a price band of ₹94-99, according to the data available on the stock exchanges.
Non-Institutional Investors Portion was the most subscribed with 19.39 times, followed by Retail with 12.88 times. Employee Section was subscribed 5.69 times, whereas Qualified Institutional Buyer Portion was subscribed 0.35 times. The issue kicked off for subscription on Thursday, August 24, 2023 and will close on Monday, August 28, 2023.
A day prior to the opening of the issue, Vishnu Prakash R Punglia Ltd had raised Rs 91.77 crore from anchor investors. Foreign Investors and Domestic Institutions who participated in the anchor were Quant Mutual Fund, Kotak Mahindra Life Insurance Company Ltd, Max Life Insurance Company Limited, BNP Paribas, Copthall Mauritius Investment Limited, Milky Investment and Trading Company, Societe Generale and Minerva Emerging Opportunities Fund Limited.
Broking houses like Anand Rathi, Nirmal Bang, Geojit Financial Services, Reliance Securities, BP Wealth, Stoxbox, Hensex Securities, Indsec Securiries, Mehta Equities, Arihant Capital, Sushil Finance, Swastika Investmart have given a “SUBSCRIBE” rating to the issue.
Based on brokerage recommendations, analysts highlight “the company’s strong foothold in integrated engineering, procurement, and construction (EPC) projects, particularly in the critical water supply segment, stands out. Backed by an impressive track record of successful project execution and consistent growth, the company boasts a robust order book of Rs 3,799.53 crore, ensuring revenue visibility and growth prospects. With its alignment to government initiatives for infrastructure development and attractively priced valuations, the IPO is seen as a compelling opportunity for investors, poised for medium to long-term profitability in the evolving infrastructure landscape.”
Choice Capital Advisors Private Limited and Pantomath Capital Advisors Private Limited are the book-running lead managers. Company’s equity shares are proposed to be listed on the BSE and NSE.
Company Information
Led by Promoter Vishnu Prakash Punglia, the EPC Company has a strong operational understanding with a consistent track record in carrying out infrastructure projects for over three decades. It owns a fleet of about four hundred and ninety-nine construction equipment assets which includes including crushers, excavators, loaders, dozers, paver machines, ready mix concrete plants, concrete mixtures, cranes, tractors and transportation vehicles from some of the leading suppliers.
Its major activities include constructing, designing, building, implementing, operating, maintaining and developing Water Supply Projects (WSPs) including Water Treatment Plants (WTPs) along with pumping stations and laying of pipelines for supply of water, as well as other projects such as Roads, Bridges, Tunnels, Warehouses, Buildings, Railway Buildings including platforms, stations, quarters, administrative buildings, Rail-Over-Bridges and Waste Water Treatment Plants (WWTPs). It also undertakes operations and maintenance services.
The Company’s revenue from operations has increased from ₹4,857.31 million in financial year ended March 31, 2021 to ₹7,856.13 million in financial year ended March 31, 2022 and further to ₹11,684.04 million in financial year ended March 31, 2023 showcasing a CAGR of 55.1%, profit after tax stood at Rs 90.6 crore, whereas EBITDA margin stood at 13.7%.
The table below shows subscription data for all the categories of investors:
| VISHNU PRAKASH R PUNGLIA LIMITED
Last updated on
25 Aug 2023 | 05:00:00 PM |
| Sr.No. |
Category |
No.of shares offered / reserved |
No. of shares bid for |
No. of times of total meant for the category |
| 1 |
Qualified Institutional Buyers (QIBs) |
61,80,000 |
21,38,550 |
0.35 |
| 1(a) |
Foreign Institutional Investors (FIIs) |
– |
6,750 |
– |
| 1(b) |
Domestic Financial Institutions(Banks/ Financial Institutions(FIs)/ Insurance Companies) |
– |
8,400 |
– |
| 1(c) |
Mutual Funds |
– |
1,12,950 |
– |
| 1(D) |
Others |
– |
20,10,450 |
– |
| 2 |
Non Institutional Investors(NIIS) |
46,35,000 |
8,98,78,350 |
19.39 |
| 2.1 |
Non Institutional Investors(Bid amount of more than Ten Lakh Rupees) |
30,90,000 |
4,70,26,200 |
15.22 |
| 2.1(a) |
Corporates |
– |
16,96,350 |
– |
| 2.1(b) |
Individuals (Other than RIIs) |
– |
3,97,07,100 |
– |
| 2.1(c) |
Others |
– |
56,22,750 |
– |
| 2.2 |
Non Institutional Investors(Bid amount of more than Two Lakh Rupees and upto 10 lakh rupees) |
15,45,000 |
4,28,52,150 |
27.74 |
| 2.2(a) |
Corporates |
– |
1,27,200 |
– |
| 2.2(b) |
Individuals (Other than RIIs) |
– |
3,75,59,100 |
– |
| 2.2(c) |
Others |
– |
51,65,850 |
– |
| 3 |
Retail Individual Investors (RIIs) |
1,08,15,000 |
13,93,47,300 |
12.88 |
| 3(a) |
Cut Off |
– |
11,68,15,800 |
– |
| 3(b) |
Price Bids |
– |
2,25,31,500 |
– |
| 4 |
Employee Reserved |
3,00,000 |
17,05,650 |
5.69 |
| 4(a) |
Employee (Cut off) |
– |
13,43,250 |
– |
| 4(b) |
Employee (Price) |
– |
3,62,400 |
– |
| 5 |
Reservation PortionShareholder |
– |
– |
– |
| 5(a) |
RPS (Cut off) |
– |
– |
– |
| 5(b) |
RPS (Price) |
– |
– |
– |
|
Total |
2,19,30,000 |
23,30,69,850 |
10.63 |
