PSP Projects, an Ahmedabad-based construction company, will hit the markets with an initial public offer (IPO) on May 17. The issue, which closes on May 19, includes a fresh issue of up to 72 lakh equity shares and an offer for sale of up to 28.8 equity shares.
Below are the five things to know about the company before the IPO hits the market
About the company
PSP Projects is a multidisciplinary construction company offering a diversified range of construction and allied services across industrial, institutional, government, government residential and residential projects in India. The company provides its services across the construction value chain, ranging from planning and design to construction and post-construction activities to private and public sector enterprises.
IPO price band
The IPO that will open on May 17 will have a price band of Rs 205-210 per equity share.
The construction company aims to raise Rs 211 crore. The company plans to utilise the funds raised from the proceeds to meet its working capital requirements and capital expenditure. It will not receive any proceeds from the offer for sale. Out of the fresh issue, which will be over Rs 150 crore, Rs 63 crore will be utilised for funding our working capital requirements, while the rest will be our capex which we will be deploying for fiscals 2018 and 2019. The company plans to spend Rs 143 crore as working capital for the current fiscal.
Karvy Investor Services and Motilal Oswal Investment Advisors are the Book Running Lead Managers to the issue
The Equity Shares of PSP Projects Limited are proposed to be listed on the National Stock Exchange of India and BSE Limited