Enviro Infra Engineers IPO opens on Nov 22: Check GMP & other key details

As the IPO approaches, here are the key highlights from the Enviro Infra Engineers' RHP that every investor should know

Enviro Infra Engineers IPO: Enviro Infra Engineers, a leading player in water and wastewater treatment solutions, is gearing up for its much-anticipated initial public offering (IPO), set to open for public subscription on Friday, November 22, 2024. According to the company's red herring prospectus (RHP), bidding for anchor investors will precede this, commencing on Thursday, November 21, 2024.   

Meanwhile, the grey market premium (GMP) of Enviro Infra Engineers remained at nil as of Monday, November 18, 2024. Sources tracking grey market activities reported that the company's unlisted shares traded flat on Monday.

 

As the IPO approaches, here are the key highlights from the company's RHP that every investor should know: 

 

 

Enviro Infra Engineers IPO details

At the upper end, Enviro Infra Engineers seeks to raise funds by offering a fresh issue of 3,86,80,000 shares and an offer for sale (OFS) with promoters offloading 52,68,000 shares with a face value of Rs 10. Sanjay Jain, Manish Jain, Ritu Jain, and Sachi Jain are among the promoters who will be divesting their partial stakes via the OFS.

 

Enviro Infra Engineers has set the price band at Rs 140-148 per share, with a lot size of 101 shares. Accordingly, investors can bid for a minimum of 101 shares and in multiples thereof. A retail investor would require a minimum of Rs 14,948 to bid for one lot of 101 shares of Enviro Infra Engineers IPO.

 

Enviro Infra Engineers IPO key dates

The subscription window for Enviro Infra Engineers' IPO will open on Friday, November 22, 2024, and close on Tuesday, November 26, 2024.  The basis of allotment will tentatively be finalised on Wednesday, November 27, 2024, and shares will be credited to demat accounts on Thursday, November 28, 2024. Enviro Infra Engineers' shares are likely to be listed on NSE and BSE on Friday, November 29, 2024.

 

Enviro Infra Engineers IPO objective

The proceeds of the Offer for Sale will be received by the promoter selling shareholders and will not form part of the proceeds from the Fresh Issue, said Enviro Infra Engineers in the RHP.   Further, Enviro Infra Engineers intends to utilize the proceeds from the Fresh Issue towards funding working capital requirements, the infusion of funds in its subsidiary, EIEL Mathura Infra Engineers, to build a 60 MLD STP under the project titled 'Mathura Sewerage Scheme' at Mathura in Uttar Pradesh through Hybrid Annuity Based PPP Mode, repayment/prepayment, in full or in part, of certain outstanding borrowings, funding inorganic growth through unidentified acquisitions, and for general corporate purposes.

 

Enviro Infra Engineers Registrar, lead manager

Bigshare Services is the registrar for the Enviro Infra Engineers' IPO, while Hem Securities is the sole book-running lead manager for the public offering.

 

Enviro Infra Engineers Financial details

According to the data available in the RHP, Enviro Infra Engineers' net profit attributable to the owners of the company rose to Rs 110.54 crore in FY24, up 110 per cent from Rs 54.97 crore reported in FY23, and 219 per cent from Rs 35.55 crore reported in FY22. 

 

The company's revenue from operations jumped to Rs 738 crore, up 116 per cent from Rs 341.66 crore reported in FY23, and 227 per cent from Rs 225.62 crore reported in FY22. 

 

On the flip side, the company's expenses also increased to Rs 41.24 crore in FY24, up 114.34 per cent from Rs 19.24 crore reported in FY23, and 257.98 per cent from Rs 11.52 crore reported in FY22.

 

About Enviro Infra Engineers

Established in 2009, Enviro Infra Engineers specializes in designing, constructing, operating, and maintaining water and wastewater treatment plants and supply projects for government agencies. The company participates in state government and ULB tenders, developing projects on an EPC or HAM basis. By June 2024, they had completed 28 projects across India. The company's key strengths include in-house design and execution, diversified projects, advanced technologies, experienced management, and consistent financial performance.