Ceigall India IPO opens for subscription. Should you apply?
Ceigall India IPO Day 1: Ceigall India has launched its IPO, open for subscription until August 5, raising Rs 375.20 crore from anchor investors beforehand. The IPO consists of a fresh equity issue and an offer for sale, to raise close to Rs 1253 ...
By Akash Podishetti, ETMarkets.com | Updated:
ETMarkets.com
The initial public offer (IPO) of Ceigall India has opened for subscription today and will be available for public to bid till August 5. Ahead of the issue opening, the company raised Rs 375.20 crore from anchor investors.
The IPO comprises a fresh equity issue of Rs 617.69 crore and an offer for sale (OFS) of up to 1.42 crore shares. Under the OFS, Ramneek Sehgal, Ramneek Sehgal and Sons HUF, Avneet Luthra, Mohinder Pal Sing Sehgal, Parmjit Sehgal, Simran Sehgal and Kanwaldeep Singh Luthra will be offloading their part stakes.
Ceigall India IPO review
Analysts advised investors to subscribe to the IPO as the company is one of the fastest growing EPC player with 20 years experience, expertise in executing specialized structures projects of different sizes and involving varying degrees of complexity.
"We believe CIL will continue to maximize revenues with multiple projects in hand and increase the profit margins and return ratio over the next few years. Hence, we recommend a Subscribe to the issue," said Reliance Securities.
Ceigall India IPO price band
Ceigall India has announced a price band of Rs 380-401 for its IPO, where investors can bid for 37 shares in one lot. At the upper end, the company plans to raise about Rs 1253 crore.
Other details
The proceeds from the fresh issue will be utilized by the company for purchase of equipment, repayment/ prepayment of certain borrowings of the company and its subsidiaries and general corporate purposes.
Ceigall India was established in July 2002 and over the past two decades has evolved from a small construction firm to a prominent player in engineering, procurement, and construction (EPC), specializing in the design and development of various road and highway projects.
The Ludhiana-based company has emerged as one of the fastest-growing EPC companies in terms of three-year revenue Compound Annual Growth Rate (CAGR) up to Fiscal 2023, achieving a turnover exceeding Rs 1,000 crore.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
The IPO comprises a fresh equity issue of Rs 617.69 crore and an offer for sale (OFS) of up to 1.42 crore shares. Under the OFS, Ramneek Sehgal, Ramneek Sehgal and Sons HUF, Avneet Luthra, Mohinder Pal Sing Sehgal, Parmjit Sehgal, Simran Sehgal and Kanwaldeep Singh Luthra will be offloading their part stakes.
Ceigall India IPO review
Analysts advised investors to subscribe to the IPO as the company is one of the fastest growing EPC player with 20 years experience, expertise in executing specialized structures projects of different sizes and involving varying degrees of complexity.
"We believe CIL will continue to maximize revenues with multiple projects in hand and increase the profit margins and return ratio over the next few years. Hence, we recommend a Subscribe to the issue," said Reliance Securities.
Ceigall India IPO price band
Ceigall India has announced a price band of Rs 380-401 for its IPO, where investors can bid for 37 shares in one lot. At the upper end, the company plans to raise about Rs 1253 crore.
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Other details
The proceeds from the fresh issue will be utilized by the company for purchase of equipment, repayment/ prepayment of certain borrowings of the company and its subsidiaries and general corporate purposes.
Ceigall India was established in July 2002 and over the past two decades has evolved from a small construction firm to a prominent player in engineering, procurement, and construction (EPC), specializing in the design and development of various road and highway projects.
The Ludhiana-based company has emerged as one of the fastest-growing EPC companies in terms of three-year revenue Compound Annual Growth Rate (CAGR) up to Fiscal 2023, achieving a turnover exceeding Rs 1,000 crore.
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IIFL Securities, ICICI Securities and JM Financial are the book running lead managers to the issue, while Link Intime India is the registrar to the offer.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
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