PKH Ventures IPO to open for subscription on June 30; price band fixed at Rs 140-148/share

The initial public offering (IPO) of PKH Ventures will open on June 30 and close for subscription on July 4. The company had set the price band of Rs 140-148 per share.

The company's issue size will be Rs 379 crore at the upper price band. 50% of the net offer (Rs 179-189 crore) is reserved for the QIB portion. 15% of the net offer (Rs 54-57 crore) is reserved for NII, while 35% (Rs 126-133 crore) is reserved for retail.

The IPO comprises fresh equity issue of up to 1.82 crore shares and an offer for sale (OFS) of up to 73.7 lakh equity shares by selling shareholders.

Under the OFS, promoter Pravin Kumar Agarwal will offload 73.7 lakh equity shares.

The company received approval from the regulator in July last year.

PKH Ventures is in the business of construction and Development, hospitality, and management services. The civil construction business is executed by its Subsidiary and construction arm, Garuda Construction.

The company does its civil construction works for third-party developer projects and has also been awarded two government projects and three government hotel development projects.

Its hospitality vertical is in the business of owning, managing, and operating hotels, restaurants, QSRs, spas, and the sale of food products.

The company is also proposing to develop several projects, which include real estate development, an agro-processing cluster, cold storage park/facilities,
and a wellness centre and resort.

As a part of the management services, PKH Ventures provides services for the annual maintenance of the Delhi Police headquarters as per the agreement with the concessionaire.

The proceeds from the fresh issue will be used towards investment by way of equity in its construction subsidiaries, inorganic growth through acquisitions, and other general corporate purposes.

For the period ending December 2022, the company has clocked revenue of Rs 125 crore and a profit after tax of Rs 28.6 crore.

IDBI Capital Markets is the book-running lead manager to the issue, and Link Intime India is the registrar. The company's shares will get listed on both exchanges.