GR Infraprojects’ IPO will open for subscription next week on Wednesday, July 7, 2021. The public issue will entirely be offer-for-sale (OFS) of up to 1.15 crore equity shares by existing promoters and shareholders, and will close on July 9, 2021. The equity shares of Udaipur-based integrated road EPC are proposed to be listed on both BSE and NSE. HDFC Bank, ICICI Securities, Kotak Mahindra Capital Company, Motilal Oswal Investment Advisors, SBI Capital Markets, Equirus Capital Private Ltd, have been appointed as merchant bankers to advise the company on the IPO. KFin Technologies Private Ltd will be the registrar to the issue.
GR Infraprojects OFS comprises
– Lokesh Builders Private Ltd: Up to 11.42 lakh shares
– Jasamrit Premises Private Ltd: Up to 1.27 lakh shares
– Jasamrit Fashions Private Ltd: Up to 80,000 shares
– Jasamrit Creations Private Ltd: Up to 56,000 shares
– Jasamrit Construction Private Ltd: Up to 44,000 shares
– India Business Excellence Fund I: Up to 64.14 lakh shares
– India Business Excellence Fund: Up to 31.59 lakh
– Pradeep Kumar Agrawal: Up to 4.86 lakh shares
GR Infraprojects listed industry peers
The initial public offering of GR Infraprojects includes a reservation of up to 2.25 lakh equity shares for subscription by eligible employees, according to the company’s red herring prospectus (RHP). Upon successful listing, GR Infraprojects will join peers such as KNR Constructions, PNC Infratech, HG Infra Engineering, Dilip Buildcon, Ashoka Buildcon, IRB Infrastructure Developers and Sadbhav Engineering on the bourses.
The average industry price to earnings P/E stands at 16.73 times. The weighted average return on net worth for fiscals 2019, 2020 and 2021 is 26.15 per cent. Up to 50 per cent of the net offer will be reserved for Qualified Institutional Buyers (QIBs), 15 per cent of the portion for Non-Institutional Investors (NIIs), and remaining 35 per cent will be kept aside for the retail investors. GR Infraprojects will not receive any proceeds from the offer since it involves only the OFS. GR Infraprojects posted a profit of Rs 716 crore, Rs 800 crore and Rs 953 crore, for the fiscal ending 2019, 2020 and 2021, respectively.