VL Infraprojects IPO Oversubscribed More Than 630 Times On Final Bidding Day

V.L. Infraprojects Limited launched its Initial Public Offering on Tuesday, July 23, with a book-built issue worth Rs 18.52 crores. The IPO consists entirely of a fresh issue of 44.1 lakh shares, aimed at funding the company's expansion and operational requirements.

The IPO opened for subscription on Tuesday, July 23 and was subscribed 62.22 times at the end of bidding on day 1. The IPO ended on day 2 with an overall subscription of 179.22 times, led by demand from retail investors. The SME issue concluded its bidding with an oversubscription of more than 630 times on July 25.

V.L. Infraprojects IPO was subscribed 636.17 times on Thursday, July 25 at 06:19 p.m. as per the market tracking site Chittorgarh.

• Non-Institutional Buyers: 726.56 times.

• Retail Investors: 844.22 times.

• Qualified Institutions: 203.73 times.

• Anchor Investors: 1 time.

The IPO opened for bidding on July 23 and will continue until July 25. The allotment of shares is expected to be finalised by July 26. The IPO is scheduled to list on the NSE SME platform, with trading likely to commence on Tuesday, July 30.

Investors keen on participating in the V.L.Infraprojects IPO can do so within the price band of Rs 39 to Rs 42 per share. The minimum lot size for retail investors is set at 3000 shares, requiring a minimum investment of Rs 1,26,000. High Net Worth Individuals (HNIs) are required to apply for a minimum of 2 lots, amounting to Rs 2,52,000.

Beeline Capital Advisors Pvt. Ltd. is serving as the book-running lead manager for the V.L. Infraprojects IPO, while Skyline Financial Services Private Ltd. acts as the registrar for the issue. Spread X Securities has been appointed as the market maker for facilitating trading activities post-listing.

V.L. Infraprojects IPO will offer not more than 50% of the net issue for qualified institutional buyers (QIBs), not less than 15% of the net offer for non-institutional investors (NIIs) and not less than 35% of the net offer for retail investors. Up to 2,40,000 equity shares have been allotted to the market maker portion.

Potential investors are encouraged to consult financial advisors and review the IPO prospectus for comprehensive details and risk factors associated with investing in V.L. Infraprojects Limited.

Founded in 2014, V.L. Infraprojects Limited specialises in planning, construction, and commissioning services for various government projects, particularly in water infrastructure and irrigation. The company's portfolio includes the execution of water supply and wastewater infrastructure projects, involving procurement, laying, and commissioning of pipes, alongside civil engineering works such as pumping stations and installation of electro-mechanical equipment for water distribution.

The net proceeds from the IPO's fresh issue will primarily cater to V.L. Infraprojects' working capital requirements and general corporate purposes. This strategic allocation aims to bolster the company's operational capabilities and support its ongoing and future infrastructure projects.

In its latest financial report, V.L. Infraprojects Limited showcased robust growth. The company's revenue surged by 149.72% and profit after tax (PAT) increased by 175.76% between the financial years ending March 31, 2024, and March 31, 2023.