SRM Contractors IPO

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 nameSRM Contractors Limited
IndustryEngineering – Construction
Company Website

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 date26 March 2024
IPO Closing28 March 2024
Basis of Allotment01 April 2024
Initiation Refund02 April 2024
Credit to Demat Account02 April 2024
Listing Date03 April 2024
(Cut-off time for UPI mandate confirmation – 5 PM on March 28, 2024)

SRM Contractors IPO details

Issue typeBook Built Issue IPO
IPO issue size₹130.20 Cr – 6,200,000 shares
Fresh Issue₹130.20 Cr – 6,200,000 shares
Offer for saleNil
Face value₹10 per share
Price Band ₹200 to ₹210 per share
Lot size70 Shares
Shareholding pre-issue16,744,200
Shareholding post-issue22,944,200
Listing ExchangeBSE & NSE

SRM Contractors IPO Lot Size

Retail (Min)170₹14,700
Retail (Max)13910₹191,100
S-HNI (Min)14980₹205,800
S-HNI (Max)684,760₹999,600
B-HNI (Min)694,830₹1,014,300

SRM Contractors IPO Reservation Details

QIB Shares Offered50%
NII (HNI) Shares Offered15%
Retail Shares Offered35%

SRM Contractors Financial Performance

 FY 2021FY 2022FY 2023
Net income8.2717.5718.75
Margin (%)5.176.676.24
(Amount in ₹ Crores)

SRM Contractors Valuations & Margins

FY 2021FY 2022FY 2023
PE ratio2.20 – 2.31
RONW (%)30.8139.5529.68
ROCE (%)31.1742.1635.04
EBITDA (%)11.4512.1412.87

Company Promoters

  • Sanjay Mehta
  • Ashley Mehta
  • Puneet Pal Singh

Promoter Holding

Pre Issue Share Holding99.92%
Post Issue Share Holding

SRM Contractors IPO Lead Manager(s)

612, 6th Floor, Shree Balaji Heights, Kokilaben Vyas Marg,
Ellisbridge, Ahmedabad – 380 009, Gujarat, India
Phone: +91 079-46019796 / 98980 55647

SRM Contractors Registrar

S6-2, 6th Floor, Pinnacle Business Park,
Next to Ahura Centre, Mahakali
Caves Road, Andheri East, Mumbai – 400 093
Phone: +91 22 6263 8200

SRM Contractors Contact Details

Sector 3, Near BJP Head Office, Trikuta Nagar,
Jammu – 180012, Jammu and Kashmir, India
Phone: +91 84918 77114 / +0191 2472729

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

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