HG Infra IPO-Upcoming IPO in India in 2018

In the list of upcoming IPO H.G. Infra Engineering Ltd is planning to launch IPO (Initial Public offering). The tentative size of HG Infra IPO might be Rs 462 crore. The issue price of HG Infra IPO might be Rs263-Rs 270. The upcoming IPO HG Infra IPO consist of Fresh issue and Offer for sale.

• HG Infra IPO will open on 26 Feb, 2018 and will close on 28 Feb, 2018.
• Fresh Issue consist upto Rs 300 crore.
• Offer for sale upto 60 Lakh equity shares.
• HG. Infra Engineering Ltd is Infrastructure construction and Management Company.

HG Infra IPO-Upcoming IPO news:

1. Objective of the HG Infra IPO:

The Offer comprises a Fresh Issue of Rs 300 Cr and an Offer for Sale of up to 6,000,000 Equity Shares.

The Fresh Issue:
The Net Proceeds of the Fresh Issue are proposed to be utilized by the Company for the following objects:
(a) Purchasing capital equipment;
(b) Repayment/ prepayment in part or in full, of certain indebtedness
(c) General corporate purposes.

The Offer for Sale:
Each of the Selling Shareholders will be entitled to the respective proportion of the proceeds of the Offer for Sale. Company will not receive
any proceeds of the Offer for Sale by the Selling Shareholders.

2. Issue details of HG Infra IPO:

• Issue Open: Feb 26, 2018
• Issue close: Feb 28, 2018
• Issue Type: Book Built Issue IPO
• Issue Size:
  ›  Fresh Issue up to Rs 300.00 Cr
  ›  Offer for Sale up to Rs 0.60 Cr
• Face Value: Rs 10 Per Equity Share
• Issue Price: Rs 263 – Rs 270 Per Equity Share
• Market Lot: 55 Shares
• Minimum Order Quantity: 55 Shares
• Listing At: BSE, NSE
• Retail Allocation:35%

3. Utilization of Fund:

Sr.No	Particulars	Amount(Rs in Million)
1	Purchasing capital equipment	900.32
2	Repayment/ prepayment of certain indebtedness	1,155.52
3	General corporate purposes*	*
	Total	*

4. Consolidated Financial Summary:

HG Infra’s financial performance (in INR crore)
		FY2014	FY2015	FY2016	FY2017	H1 FY2018
Total revenues		473.0	367.6	743.3	1,058.6	569.5
Total expenses		447.2	354.1	697.1	979.6	524.4
Profit after tax		10.9	4.6	35.4	53.3	29.3
Net margin (%)		2.3	1.3	4.8	5.0	5.1

5. HG Infra IPO Prospectus:

Red Herring Prospectus

6. Company Details:

• The company was formed on 21 Jan, 2003 as private limited company under the provision of companies Act, 1956. At the time of incorporation the name of the company was “H.G. Infra Engineering Private Limited”.
• Later on the company was converted into Public limited on 8 June, 2017. As result the name of the company was also changed to “HG. Infra Engineering Limited”.
• G. Infra Engineering Ltd is Infrastructure construction and Management Company.
• G. Infra Engineering Ltd is an ISO 9001:2015, ISO 14001:2004, OHSAS 18001:2007 certified Construction Company.
• Company primarily engaged in execution of infrastructure sector projects like highways, roads & bridges. Military Engineering Services (MES).
• The company also executes other civil construction projects like extension & grading of runways, railways & land development.
• Company is registered as grade ‘AA’ Class contractor with PWD, Rajasthan & ‘SS’ Category with Military Engineering Services (MES).
• Company construction activity, including construction of urban infrastructure, township, highways, bridges, roads, rail network, ports, airports, water supply and power systems are crucial to the infrastructure and industrial developmental of India.
• As of now company has 21 ongoing projects in the roads and highways sector.
• HGIEL is pre-qualified to bid independently on an annual basis for bids by NHAI and MoRTH. HGIEL’s public sector clients include NHAI, PWD, MES and Jaipur Development Authority.

7. Corporate Identification Number (CIN):

U45201RJ2003PLC018049

8. Company strength:

• Established roads and highways sector focused construction developer
• Efficient business model
• Strong project management and execution capabilities
• Visible growth through our growing Order Book and improved pre-qualification credentials
• Experienced management team

9. Company strategies:

• Continue focusing on our EPC business in the roads and highways sector and enhancing execution efficiency
• Selectively expand our geographical footprint
• Selectively explore hybrid annuity based model to optimize our project portfolio
• Diversify beyond projects in the roads and highways sector by leveraging existing capabilities

10. Registered Address of the company:

14, Panchwati Colony, Ratanada,

Jodhpur 342 001, Rajasthan,

India Tel: +91 291 2000307 Fax: +91 291 2515327

11. Official website of company:

http://www.hginfra.com

12. Lead Manager of the Issue:

SBI Capital Markets Limited

HDFC Bank Limited

13. Registrar to the HG Infra IPO:

Link Intime India Private Limited