SRM Contractors IPO will open for subscription from 26 March 2024. The company aims for an issue size of ₹130.20 Cr through this IPO.
Company Overview
| Full name | SRM Contractors Limited |
| Sector | Infrastructure |
| Industry | Engineering – Construction |
| Company Website | https://srmcpl.com/ |
About Company
SRM Contractors is an engineering construction and development company primarily involved in constructing roads (including bridges), tunnels, slope stabilization works, and other miscellaneous civil construction activities in the Union Territories of Jammu & Kashmir and Ladakh. The company undertakes construction works both as an EPC contractor and on an item-rate basis for infrastructure projects.
In the calendar year 2023, the organization is involved in the construction project named “Vijayak” (BRO) in the Union Territory of Ladakh. This project entails the realignment of road Zozila-Kargil-Leh (NH-1) between Pandrass-Pashkyum, with a net length of 27.10 km, to 2-lane specifications, with a total project cost of INR 205.68 crore.
SRM Contractors, both independently and through project-specific joint ventures, has completed 37 infrastructure construction projects with a combined contract value of INR 770.88 crore. These projects comprise 31 road projects, 3 tunnel projects, 1 slope stabilization works project, and 2 other miscellaneous civil construction activities. As of 30 September 2023, the company’s order book comprises 21 infrastructure construction projects.
The company’s major clients include the National Highways & Infrastructure Development Corporation Limited (NHIDCL) under the Ministry of Road Transport & Highways, Government of India, Konkan Railway Corporation Limited (KRCL), the Economic Reconstruction Agency (ERA, Jammu) under the Government of Jammu and Kashmir, the Border Road Organisation (BRO), the Rural Roads Development Agency (JKRRDA) in Jammu & Kashmir, and more.
The Objectives of the Issue
- Funding capital expenditure requirements for the purchase of equipment/machinery;
- Full or part repayment and/or prepayment of certain outstanding secured borrowings availed by the company;
- Funding the working capital requirements of the company;
- Investment in Project Specific Joint Venture Projects; and
- General Corporate Purpose.
SRM Contractors IPO Timetable
| IPO Opening date | 26 March 2024 |
| IPO Closing | 28 March 2024 |
| Basis of Allotment | 01 April 2024 |
| Initiation Refund | 02 April 2024 |
| Credit to Demat Account | 02 April 2024 |
| Listing Date | 03 April 2024 |
SRM Contractors IPO details
| Issue type | Book Built Issue IPO |
| IPO issue size | ₹130.20 Cr – 6,200,000 shares |
| Fresh Issue | ₹130.20 Cr – 6,200,000 shares |
| Offer for sale | Nil |
| Face value | ₹10 per share |
| Price Band | ₹200 to ₹210 per share |
| Lot size | 70 Shares |
| Shareholding pre-issue | 16,744,200 |
| Shareholding post-issue | 22,944,200 |
| Listing Exchange | BSE & NSE |
SRM Contractors IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 70 | ₹14,700 |
| Retail (Max) | 13 | 910 | ₹191,100 |
| S-HNI (Min) | 14 | 980 | ₹205,800 |
| S-HNI (Max) | 68 | 4,760 | ₹999,600 |
| B-HNI (Min) | 69 | 4,830 | ₹1,014,300 |
SRM Contractors IPO Reservation Details
| QIB Shares Offered | 50% |
| NII (HNI) Shares Offered | 15% |
| Retail Shares Offered | 35% |
SRM Contractors Financial Performance
| FY 2021 | FY 2022 | FY 2023 | |
| Revenue | 160.06 | 263.61 | 300.29 |
| Expenses | 151.11 | 242.21 | 275.60 |
| Net income | 8.27 | 17.57 | 18.75 |
| Margin (%) | 5.17 | 6.67 | 6.24 |
SRM Contractors Valuations & Margins
| FY 2021 | FY 2022 | FY 2023 | |
| EPS | 40.08 | 85.11 | 90.82 |
| PE ratio | – | – | 2.20 – 2.31 |
| RONW (%) | 30.81 | 39.55 | 29.68 |
| NAV | 176.37 | 291.78 | 37.72 |
| ROCE (%) | 31.17 | 42.16 | 35.04 |
| EBITDA (%) | 11.45 | 12.14 | 12.87 |
| Debt/Equity | 1.19 | 0.71 | 0.75 |
Company Promoters
- Sanjay Mehta
- Ashley Mehta
- Puneet Pal Singh
Promoter Holding
| Pre Issue Share Holding | 99.92% |
| Post Issue Share Holding | – |
SRM Contractors IPO Lead Manager(s)
INTERACTIVE FINANCIAL SERVICES LIMITED
612, 6th Floor, Shree Balaji Heights, Kokilaben Vyas Marg,
Ellisbridge, Ahmedabad – 380 009, Gujarat, India
Phone: +91 079-46019796 / 98980 55647
Email: mbd@ifinservices.in
Website: www.ifinservices.in
SRM Contractors Registrar
BIGSHARE SERVICES PRIVATE LIMITED
S6-2, 6th Floor, Pinnacle Business Park,
Next to Ahura Centre, Mahakali
Caves Road, Andheri East, Mumbai – 400 093
Phone: +91 22 6263 8200
Email: ipo@bigshareonline.com
Website: www.bigshareonline.com
SRM Contractors Contact Details
SRM CONTRACTORS LIMITED
Sector 3, Near BJP Head Office, Trikuta Nagar,
Jammu – 180012, Jammu and Kashmir, India
Phone: +91 84918 77114 / +0191 2472729
Email: cs@srmcpl.com
Website: www.srmcpl.com
SRM Contractors IPO Allotment Status
SRM Contractors IPO allotment status will be available on Bigshare Services’ website. Click on this link to get allotment status.
Final thoughts
SRM Contractors IPO is going to hit Dalal Street soon. applying for an IPO is purely a personal choice. study well about the company and subscribe if you are feeling good about the company. I hope this post will give you enough details to make a fundamental study of the company. learn well and make wise decisions.
Happy Investing
