Yet another IPO comes: GR Infraprojects to raise Rs 240 cr

GR Infraprojects has filed its draft red herring prospectus (DRHP) for initial public offer (IPO). The proposed IPO comprises a fresh issue to raise Rs 240 crore in addition to an offer for sale by a private equity investor and the promoter. The company’s promoter will sale 11 lakh shares and Motilal Oswal Private Equity will sale 43 lakh shares in public issue.

The set of bankers managing the IPO are ICICI Securities, Motilal Oswal, HDFC Securities, IDFC Securities and SBI Capital.

GR Infraprojects will use the money raised through IPO amounting to Rs 150 crore for purchase of equipments for its engineering, procurement and construction (EPC) business. The company will also use Rs 25 crore to reduce debt and the rest of general corporate purpose.

On financial front, GR Infraprojects’ top line doubled to Rs 2019.5 crore in FY16 as compared to previous fiscal year. The company’s net profit boosted by three times to Rs 101.3 crore in FY16 on yearly basis.

GR Infraprojects is in the infrastructure construction business. The construction company is involved in roads and highways, bridges and airport runways. It has executed projects in Rajasthan, Uttar Pradesh, Bihar, Meghalaya, Gujarat, Madhya Pradesh, Himachal Pradesh, Punjab, Haryana, Jharkhand and in Nigeria.