IPO investments have become a popular way for individuals to explore new opportunities in the stock market. With the growing interest in upcoming IPOs, it's crucial to stay informed about the key details of any offering. This blog provides an overview of Afcons Infrastructure Limited's IPO, including its issue dates, price range, and lot size.
For investors keen on upcoming IPOs, understanding these details can help make well-informed decisions. Whether you're a seasoned investor or new to IPO investments, staying updated on offerings like Afcons Infrastructure's will ensure you're ready to participate effectively in the market.
Afcons Infrastructure's IPO, amounting to ₹5,430 crores, includes a fresh issue of 2.7 crore shares, raising ₹1,250 crores, and new offers for sale of 9.03 crore shares worth ₹4,180 crores. The subscription period for the Afcons Infrastructure IPO is scheduled from October 25, 2024, to October 29, 2024.
The allotment of shares is expected to be finalised by Wednesday, October 30 2024. The IPO will list on both BSE and NSE, with a tentative listing date set for Monday, November 4 2024. Investors keen on IPO investments should keep an eye on these key dates.
The Afcons Infrastructure IPO price band is set between ₹440 to ₹463 per share. Retail investors must apply for a minimum lot of 32 shares, requiring an investment of ₹14,816. For small non-institutional investors (sNII), the minimum lot size is 14 lots (448 shares), totalling ₹207,424. For large non-institutional investors (NII), the minimum is 68 lots (2,176 shares), amounting to ₹1,007,488. With this pricing, Afcons Infrastructure IPO presents an opportunity for those focused on IPO investments, making it one of the upcoming IPOs that could draw considerable attention.
| Afcon Infrastructure Limited IPO open date | October 25, 2024 (Friday) |
| Afcon Infrastructure Limited IPO close date | October 29, 2024 (Tuesday) |
| Allotment allocation | October 30, 2024 (Wednesday) |
| Refund initiation | October 31, 2024 (Thursday) |
| Crediting shares | October 31, 2024 (Thursday) |
| Date of listing | November 4, 2024 (Monday) |
| Maximum time for UPI mandate confirmation | October 29, 2024 by 5PM |
Afcons Infrastructure Limited, established in 1959, is a key player in the infrastructure engineering and construction sector, part of the Shapoorji Pallonji Group, with a legacy spanning over six decades. As of September 30, 2023, the company has completed 76 projects in 15 countries, with a total executed contract value of ₹522.20 billion. Currently, Afcons has 67 active projects across 13 countries, reflecting a strong order book of ₹348.88 billion.
The company's operations extend across Asia, Africa, and the Middle East. Afcons focuses on five major infrastructure verticals, including marine and industrial projects, surface transport, urban infrastructure, hydro and underground works, and oil and gas initiatives. Investors interested in infrastructure opportunities may find Afcons an attractive option, particularly with the ongoing trends in IPO investment and the anticipation of upcoming IPOs in the sector. This positions Afcons as a significant contender in the expanding infrastructure landscape.
Afcons Infrastructure Limited reported a revenue increase of 6% and a profit after tax (PAT) rise of 9% for the financial year ending March 31, 2024, compared to the previous year. This growth reflects the company's strong performance in the infrastructure sector and its ability to adapt to market dynamics. Afcons Infrastructure's IPO has a market capitalisation of ₹17,026.18 crore, highlighting the company's strong standing in the infrastructure sector. The Afcons Infrastructure Limited IPO's GMP is at ₹150.
| Period ended | 31st March 2024 | 31st March 2023 | 31st March 2022 |
| Total assets | 16,233.64 | 14,301.25 | 12,973.77 |
| Revenue | 13,646.88 | 12,844.09 | 11,269.55 |
| Profit after tax | 449.76 | 410.86 | 357.61 |
| Net worth | 3,575.05 | 3,155.06 | 2,691.03 |
| Reserves and surplus | 3,255.22 | 2,653.75 | 2,190.11 |
| Borrowing | 2,455 | 1,562.82 | 1,555.2 |
| *Amounts in ₹ crore | |||
Afcons Infrastructure Limited has several key strengths that position it as a leader in the infrastructure sector. These strengths not only contribute to its success but also make it an attractive option for those considering IPO investment and upcoming IPOs.
Afcons has a strong track record of executing large-scale, complex projects on time, demonstrating its operational excellence and reliability.
The company maintains a diversified order book covering various geographies, clients, and business verticals. This diversity helps mitigate risks and enhances its market position.
Afcons has cultivated long-standing relationships with clients worldwide, ensuring a steady stream of opportunities across its verticals.
The company's robust financial performance further underlines its stability and growth potential, appealing to potential investors in the IPO investment space.
Afcons fosters collaboration among internal teams and joint venture counterparties, leading to efficient project execution and innovation.
While Afcons Infrastructure has several strengths, it also faces challenges that may impact its future growth and performance.
Afcons is heavily dependent on the performance of the infrastructure sector, which is subject to economic cycles and government policies. This reliance can affect its overall stability.
The company carries high debt levels, which may pose financial risks and limit flexibility in expanding its operations or pursuing new projects.
Afcons Infrastructure's IPO is gaining significant attention, with a market capitalisation of ₹17,026.18 crore and a grey market premium (GMP) of ₹150. The company's strong track record in executing complex projects, a diversified order book across multiple geographies, and solid client relationships are key strengths. Its financial performance, with revenue and profit growth between FY 2023 and FY 2024, further enhances its appeal. However, Afcons' reliance on infrastructure sector performance and high debt levels could pose risks. Overall, the IPO offers a solid opportunity for those considering IPO investment in the growing infrastructure sector.
When evaluating the Afcons Infrastructure IPO, it's essential to consider the company's strengths, such as its proven track record, diversified order book, and global presence. However, attention should also be given to potential risks, like sector dependence and high debt levels. By thoroughly assessing these aspects, you can determine if this IPO aligns with your investment strategy.
The Afcons Infrastructure IPO is scheduled to open for subscription on October 25, 2024, and will close on October 29, 2024.
The price band for the Afcons Infrastructure IPO is set between ₹440 to ₹463 per share.
Retail investors can apply for a minimum lot of 32 shares, requiring an investment of ₹14,816.
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