The proceeds of the new issue of Rs 118.78 million will be used to purchase equipment.
The company may consider raising Rs 123.50 crore in a pre-IPO placement round. Once this batch is complete, the size of new publications will be reduced.
Infrastructure company Ceigall India Ltd has filed preliminary documents with capital markets regulator Sebi to mobilize funds through an initial public offering (IPO).
The Ludhiana-based company's IPO is a combination of a fresh issue of Rs 617.69 crore and an offer for sale (OFS) of up to ₹1.43 billion from promoters and individual selling shareholders, according to the draft Red Herring prospectus filed on Sunday.
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The promoters and promoter group entities (Ramneek Sehgal, Ramneek Sehgal and Sons HUF, Avneet Luthra, Mohinder Pal Singh Sehgal, Parmjit Sehgal, Simran Sehgal) and individual shareholders Kanwaldeep Singh Luthra are selling their stake in the proposed public issue.
This offer includes subscription reservations for eligible employees.
The company may consider raising Rs 123.50 crore in a pre-IPO placement round. Once this batch is complete, the size of new publications will be reduced.
Of the fresh issue proceeds, Rs 118.78 crore will be used to purchase equipment, Rs 344.50 crore will be used to repay debt and a portion will be used for general corporate purposes.
Established in 2002, Ceigall India is an infrastructure construction company with experience in carrying out specialized structural works including flyovers, flyovers, bridges, railways over bridges, tunnels, expressways, expressways and runways.
As of January 2024, the company's order volume was Rs 9,206.42 crore, with NHAI contributing 82% of the order volume. Its clients include public sector organizations such as Indian Railway Construction International Ltd, Military Engineer Services and Bihar State Road Development Corporation Ltd.
During the fiscal year 2022-23, the company's revenue from operations increased by 82% from Rs 1,133.79 billion in fiscal 2021-22 to Rs 2,068.17 billion and its profit after tax increased from Rs 125.86 billion in fiscal 2022 to Rs 16.72 billion in fiscal 2023. increased to 700 million rupees.
ICICI Securities Ltd, IIFL Securities Ltd and JM Financial Ltd are the book-running managers for the IPO. The equity stake is proposed to be listed on BSE and NSE.
(This story has not been edited by News18 staff and is published from a syndicated news agency feed – PTI)