infrastructure The biggest IPO of the sector is about to be launched. Afcons Infrastructure Limited (AIL), the flagship infrastructure engineering and construction company of Shapoorji Pallonji Group, has filed documents with capital markets regulator SEBI to raise Rs 7,000 crore through an initial public offering. According to preliminary documents (DRHP) filed on Thursday, new shares worth Rs 1,250 crore will be issued in the company’s IPO. Also, an offer for sale (OFS) worth Rs 5,750 crore will be brought by promoter Goswami Infratech Private Limited. Apart from this, shares will also be reserved for eligible employees in the IPO.
Promoters group has 99.48% stake
Currently, the promoters and promoter group entities hold 99.48 per cent stake in Maharashtra-based Afcons Infrastructure. Additionally, the company may consider raising up to Rs 250 crore in the pre-IPO planning round. If this happens, the size of the new issue will be reduced. In this IPO, 50 percent share has been reserved for QIBs. 15 percent has been reserved for non-institutional buyers and 35 percent for retail investors.
What does Afcons Infrastructure do?
Afcons Infrastructure has been operating in India for last 6 decades. This company is in the construction sector. The company takes up projects from both domestic and foreign clients. Some of the major projects of the company include Jammu-Udhampur Highway Project, Nagpur Metro Reach 3 and Agra Lucknow Expressway. These projects have been prepared by the company ahead of schedule. As of September 30, 2023, the company has 67 projects in 13 countries. Afcons Infrastructure operates in 5 major infra businesses. These include Marine and Industrial, Surface Transport, Urban Infrastructure, Hydro and Underground and Oil and Gas sectors.
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