Vikran Engineering announces IPO price band; GMP remains healthy ahead of issue opening. Check details

Vikran Engineering has announced a price band of Rs 92 to Rs 97 per equity share for its upcoming IPO. The issue will open for subscription on August 26 and close on August 29. The grey market premium (GMP) in the unlisted market is around 23% over the issue price.

Investors can bid for a minimum of 148 equity shares and in multiples thereof.

The IPO will be offered through the book-building process, with not more than 50% reserved for qualified institutional buyers (QIBs), not less than 15% for non-institutional investors (NIIs), and not less than 35% for retail individual investors.

The issue comprises a fresh issue of shares worth Rs 721 crore and an offer for sale of shares worth Rs 51 crore.

Of the fresh issue proceeds, Rs 541 crore will be utilised to fund working capital requirements, while the balance will go toward general corporate purposes.

Vikran Engineering is one of India’s fast-growing engineering, procurement and construction (EPC) companies, reporting higher revenue growth in FY23–25 compared to industry peers, according to a CRISIL report.The company has a diversified project portfolio with a strong presence in the energy and water infrastructure sectors, as well as in railway and solar EPC.As of June 30, the company had successfully completed 45 projects across 14 states, with a total executed contract value of Rs 1,920 crore. It currently has 44 ongoing projects across 16 states, aggregating Rs 5,120 crore in orders, including an order book of Rs 2,442 crore.Its key government clients include NTPC, Power Grid Corporation of India, South Bihar Power Distribution, and North Bihar Power Distribution. It is also executing projects for Assam Power Distribution Company and the Danapur division of Eastern Central Railway.

The company reported a 165% rise in revenue from Rs 786 crore in FY24 to Rs 916 crore in FY25, while profit after tax increased 4% to Rs 78 crore during the same period.

Pantomath Capital Advisors and Systematix Corporate Services are the book-running lead managers to the issue, while Bigshare Services is the registrar.

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