AVP Infracon IPO: Infrastructure construction company AVP Infracon will launch its initial public offering (IPO) on March 13. AVP Infracon IPO is an SME IPO and the company has announced the price band for the issue.
AVP Infracon IPO will open for public subscription on March 13 and close on March 15. The IPO allotment is expected to be finalized on March 18, 2024.
AVP Infracon IPO price band has been set at ₹71 to ₹75 per share. The company plans to raise ₹52.34 crore at the upper end of the price band from the book-built issue which is entirely a fresh issue of 69.79 lakh equity shares.
The IPO lot size is 1,600 shares and the minimum investment amount required by retail investors is ₹120,000.
The equity shares of AVP Infracon will list on the NSE Emerge platform with a tentative listing date fixed as March 20.
The company proposes to utilise the fresh issue proceeds to purchase capital equipment, meet working capital requirements and for general corporate purposes.
Share India Capital Services Private Limited is the book-running lead manager of the AVP Infracon IPO, while Purva Sharegistry India Pvt Ltd is the IPO registrar.
In the IPO, the company has reserved 50% of the shares for Qualified Institutional Bidders (QIB), 35% of the issue is reserved for retail investors, and the remaining 15% for Non-Institutional Investors (NII).
About AVP Infracon
AVP Infracon is involved in the construction of road projects based on Bill of Quantities (BOQ) and Engineering, Procurement, and Construction (EPC) methods. It provides all types of infrastructure development works, civil works like expressways, national highways, flyovers, bridges and viaducts, irrigation projects, urban development - civic amenities, hospitals, warehouses, hotels and other commercial and residential projects.
It bids for the construction of Roads, Bridges, Irrigation and Canal Projects, Flyovers, Industrial Areas, majorly based in the state of Tamil Nadu.
As of January 2024, the company has completed over 40 projects worth around ₹31,321.03 lakhs and employs more than 100 people.
D Prasanna and B Venkateshwarlu are the promoters of AVP Infracon. The promoter shareholding in the company will drop down to 62.34% after the issue from 86.5% at present.
AVP Infracon reported a net profit of ₹12.05 crore upon revenue of ₹115.50 crore in the financial year ended March 2023. The company's profit for the period ending October 2023 was ₹8.55 crore and revenue for the period was ₹74.11 crore.