Deepak Builders & Engineers India Limited, a well-known engineering and construction company, is set to begin its Initial Public Offering (IPO) on October 21. The IPO will allow investors to buy shares in the company, and it will close on October 23. The allocation for anchor investors is set to take place on October 18.
Deepak Builders aims to raise ₹260 crore through this IPO. The price range for the shares has been set between ₹192 and ₹203 per share, with a face value of ₹10 each. The company plans to issue 10.7 million new equity shares and an additional 2.11 million shares through an offer-for-sale (OFS). This means that some existing shareholders will sell their shares as part of the IPO.
Deepak Builders & Engineers has a rich history in the construction sector. The company specializes in building various types of structures, including administrative buildings, institutional buildings, hospitals, stadiums, and residential complexes. Deepak Builders has successfully completed many large-scale projects across India. They are known for handling full turnkey projects, which cover all aspects of construction. This includes architectural design, structural work, civil engineering, MEP (Mechanical, Electrical, and Plumbing) systems, firefighting systems, public health services, IT systems, medical gas pipelines, and landscaping.
The company’s activities are divided into three main segments: Construction Projects, which includes all types of building projects; Infrastructure Projects, focusing on larger public and private infrastructure developments; and Sale of Products, which deals with selling construction-related products.
Deepak Builders & Engineers has shown steady growth in its financial performance over the years. The company has built a strong order book, which means it has many projects lined up. This consistent demand helps support its revenue and profit growth. Investors will find key financial details in the IPO prospectus, including important numbers like revenue, profit margin, and return on equity (ROE), which will help them evaluate the company’s financial health.
The funds raised from the IPO will be used for various purposes, including expanding the company’s operations and strengthening its financial position. Deepak Builders & Engineers plans to grow its presence in key markets and diversify its project portfolio, which could lead to more business opportunities.
The Indian construction industry is expected to grow in the coming years. Factors driving this growth include urbanization, infrastructure development, and government initiatives to improve public services. Deepak Builders is well-positioned to take advantage of these opportunities and continue its expansion in the market.
Before investing in Deepak Builders & Engineers’ IPO, potential investors should consider their risk tolerance and investment goals. It is wise to consult with a financial advisor for personalized advice. Evaluating the company’s strengths, risks, and market conditions will help investors make informed decisions.
The IPO of Deepak Builders & Engineers Limited presents a significant opportunity for investors to participate in the growth of a reputable player in the Indian construction industry. With its strong track record and future plans, the company aims to continue delivering high-quality projects across India.
