Afcons Infrastructure IPO: DRHP Filed for Raising ₹7000 Crore

Afcons Infrastructure Limited is a flagship firm of India’s leading conglomerate company Shapoorji Pallonji Group. Recently, Afcons Infrastructure came into the headlines after it filed drafts papers (DRHP) with SEBI for raising Rs 7000 crore. This upcoming IPO will be a mainline IPO and investors are waiting for the issue open dates to get released.

According to the DRHP papers filed with SEBI, Afcons Infrastructure IPO is a mix of fresh issue and offer for sale (OFS). The face value is kept at Rs 10 per equity share. The fresh issue is amounting to Rs 1,250 crore and offer for sale amounting to Rs 5,750 crore. In this offer for sale, Goswami Infratech Private Limited is the selling shareholder. 

The offer had a reservation for the eligible employees. It seems to be the largest infrastructure IPO in a decade. 

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About Afcons Infrastructure Limited

Afcons Infrastructure is an Indian conglomerate engaged in the business of construction and engineering. Company has a proven track record of successfully delivering a wide range of complex engineering products, procurement and construction both domestically and internationally.

Company ranks among the top international contractors globally in marine and port facilities, bridges and transportation based on international revenue for the FY 2023.

Some famous completed projects by Afcons are Chenab Bridge in Jammu & Kashmir, Atal Tunnel in Himachal Pradesh. Ongoing projects are Kolkata Metro, Thilafushi Link Project in the Maldives. 

Afcons Infrastructure Limited Financials

Afcons order book has increased at a CAGR of 7.6% from Rs 26,248.46 crore in FY 2021 to Rs 30,405.77 crore in FY23. As of September 30, 2023, it stood at Rs 34,888.39 crore. 

Afcons consolidated revenue from operations during fiscal year 2023 increased 14.69% to Rs 12,637.38 crore from Rs 11,018.97 crore in the previous year. This spike in revenue is mainly due to the increase in construction contract revenue driven by increases in the urban infrastructure business both in India and overseas. 

Afcons PAT grew 14.89% from Rs 357.60 crore for FY22 to Rs 410.86 crore for the financial year 2023.

Lead Manager and Registrar Afcons Infrastructure IPO 

The lead managers for this IPO issue are ICICI Securities Limited, DAM Capital Advisors Limited, Nomura Financial Advisory and Securities Private Limited, Nuvama Wealth Management Limited, Jefferies India Private Limited and SBI Capital Markets. The registrar for this issue is Link Intime India Private Limited. 

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