Manglam Infra and Engineering, a company offering infrastructure project management services, is set to launch its IPO on the NSE SME platform. This blog dives into the details of the Manglam Infra IPO, helping you decide if it aligns with your IPO investment goals.
About Manglam Infra
- Founded in 2010, Manglam Infra assists with various aspects of infrastructure projects, including design, engineering, construction management, and operation & maintenance.
- The company boasts a diverse service portfolio, covering project feasibility studies, planning, execution, and quality control.
- Manglam Infra has a strong track record, completing over 127 projects across 15 Indian states, primarily through independent ventures.
- The company has shown steady growth in revenue and profit after tax in the last financial year.
Manglam Infra IPO fundamentals
- Issue Size: ₹27.62 crore (fresh issue only)
- Price Band: ₹53 - ₹56 per share
- Minimum Lot Size: 2000 Shares (₹106,000 minimum investment)
- Listing: NSE SME (tentative date: July 31, 2024)
Manglam Infra financials
- Revenue: Increased by 16.46% compared to FY23
- Profit After Tax (PAT): Increased by 22.06% compared to FY23
- Market Capitalization: ₹98.54 Cr
Key considerations for the Manglam Infra IPO
- SME Listing: Manglam Infra is listing on the NSE SME platform, known for lower liquidity compared to the main NSE board.
- Growth Potential: The Indian government's focus on infrastructure development creates a potential growth opportunity for Manglam Infra.
- Order Book: The company's order book details as of July 2024 are not readily available. A healthy order book would indicate a strong project pipeline.
Who should consider the Manglam Infra IPO?
- Long-Term Investors: Given the SME listing, liquidity might be lower. This investment is suitable for those with a long-term perspective.
- Infrastructure Enthusiasts: Investors interested in the Indian infrastructure sector's growth might find this IPO appealing.
- Investors Comfortable with Mid-Cap Risk: SME IPOs generally involve higher risks than established companies. Investors comfortable with such risk can consider this opportunity.
Further research
- Read the company's DRHP (Draft Red Herring Prospectus) for a detailed understanding of its business model, financials, risk factors, and order book details (if available).
- Look for analyst reports and news articles to gain insights into the competitive landscape of the Indian infrastructure project management sector.
Conclusion
Manglam Infra's IPO offers an opportunity to invest in a company with a proven track record in infrastructure project management. However, the SME listing platform and inherent risks in the construction sector necessitate careful consideration. Thorough research, a long-term investment approach, and an understanding of the company's competitive environment and order book details are crucial before subscribing to this IPO.
Disclaimer: This blog is for informational purposes only and should not be considered financial advice. Investing in the stock market carries inherent risks, and it's essential to conduct thorough research or consult with a qualified financial advisor before making any investment decisions.
