The company proposes to utilise net proceeds from fresh issue towards working capital requirements, infusion of funds in subsidiary, EIEL Mathura Infra Engineers to build 60 MLD STP under project titled Mathura Sewerage Scheme and repayment of debt.
Enviro Infra Engineers IPO: Opening Date, Allotment and Listing Date
NTPC Green IPO will kick-off for subscription on November 22 and will close on November 26. The allotment for the IPO will be completed on November 27 and the listing is scheduled for November 29.
Enviro Infra Engineers IPO: GMP today
The GMP of NTPC Green is currently Rs 27 in the unlisted markets, which indicates a premium of 18% over the issue price.
Enviro Infra Engineers IPO: Price band
Enviro Infra Engineers has fixed a price band of Rs 140-148 per share, where investors can bid for 101 shares in one lot and in multiples thereafter.
Enviro Infra Engineers IPO review
Analysts advised investors to subscribe to the issue for long term as the company has a diversified order book and in-house execution capabilities with timely delivery and established track record enabling consistent increase in eligibility for high value project tenders.
Also Read: Enviro Infra Engineers IPO opens on Friday. GMP, Price band, Key dates among 10 things to know
“At the upper price band, the company is valuing at P/E of 30.72x, with an EV/EBITDA of 15.8x and market cap of Rs 2600 crore post issue of equity shares and return on net worth of 37.83%. We believe that the IPO is fairly priced and recommend a subscribe-long term rating,” said Anand Rathi.
About Enviro Infra Engineers
The company is in the business of designing, construction, operation and maintenance of water and wastewater treatment plants (WWTPs) and water supply scheme projects (WSSPs) for government authorities/bodies.
WWTPs include Sewage Treatment Plants (STPs), Sewerage Schemes (SS) and Common Effluent Treatment Plants (CETPs) while WSSPs include Water Treatment Plants (WTPs) alongwith pumping stations and laying of pipelines for supply of water.
Enviro Infra’s financials have seen a multi fold increase in revenue from Rs 224 crore in FY22 to 729 crore in FY24 which grew by a CAGR of 80.6% while EBITDA and profit also grew in the same range as there was some bout of borrowings with increased in the order book from Rs 170 crore to Rs 2126 crore in the same period.
Over the last three fiscal years, the company has maintained an average EPS of Rs. 5.95 and an average RoNW of 41.44%.
Hem Securities is the sole book running lead manager to the offer.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)