Man Infraconstruction Ltd., a Mumbai headquartered construction company, successfully completed its Initial Public Offering (IPO), and listed its shares on the Mumbai Stock Exchange and National Stock Exchange on 11th March, 2010.
The IPO received strong response from institutional and retail investors. The Qualified Institutional Buyers (QIB) and High Networth Individuals (HNI) portions of the IPO were each oversubscribed by more than 97 times, while the retail portion received excellent response with nearly 60,000 applications and was oversubscribed almost 10 times.
Investors demonstrated their confidence in Man Infraconstruction since it presented an opportunity to invest in the attractive infrastructure industry in India, and on account of the company’s proven financial track record, consistent industry-leading margins and a robust order book.
Abraaj Capital, the Middle East’s largest private equity group, recognized the company’s potential as early as 2008 and invested in the company through Sabre Abraaj Infrastructure Company Private Limited. Sabre Abraaj held 9.23% of the pre-IPO share capital. Post IPO, that stake stands at 8.18%.
Ahmed Badreldin, Executive Director at Abraaj Capital, said: “The successful IPO and listing of Man Infraconstruction has vindicated our confidence in the company’s growth potential. We are very pleased that the company’s shares have listed at an attractive premium to the offer price, thereby rewarding all investors. We are confident that, because of its business model, its strong management and focused approach, Man Infraconstruction will continue to exceed the expectations of its investors.”
About Man Infraconstruction Ltd:
Man Infraconstruction is a Mumbai headquartered construction company and has undertaken projects in Maharashtra, Kerala, Gujarat, West Bengal, Goa and Tamil Nadu. The Company provides construction services for port infrastructure, residential, industrial, commercial and road infrastructure projects. Man Infraconstruction has the experience and expertise to provide quality services in construction projects. By leveraging its strengths, it proposes to capture the high growth opportunities in the infrastructure and real estate sectors. As of 31st December 2009, the company’s order book was Rs.2021 crore.
About Abraaj Capital Group:
Abraaj Capital is the Middle East’s largest private equity group, and invests in the growing Middle East, North Africa and South Asia (MENASA) region. Since inception in 2002, it has raised about $7 billion and distributed almost $3 billion to investors. The group has made more than 35 investments in 11 countries and exited 20. Based in Dubai, the group operates offices in six countries including Saudi Arabia, Egypt and Turkey. About 130 people with 29 different nationalities work for Abraaj. Funds managed by the Abraaj Group have holdings in some of the region’s most prominent companies, such as Air Arabia, the region’s largest low-cost carrier; Acibadem Healthcare Group, Turkey’s biggest privately owned operator of premium hospitals; and Al Borg Laboratories, the Middle East’s biggest medical-testing laboratory company. Abraaj has won several international awards; Private Equity International magazine has named it “Middle Eastern Private Equity Firm of the Year” five years running. Abraaj Capital Ltd., a member of the Abraaj Group, is licensed by the Dubai Financial Services Authority. The group is an associate member of the European Venture Capital Association and a member of the Emerging Markets Private Equity Association. For more information please visit www.abraaj.com