Ceigall India IPO: Everything You Need to Know About the Upcoming Mega IPO

Ceigall India IPO

The Ceigall India IPO is one of the most anticipated events in the stock market this year. With a rich history of delivering high-quality infrastructure projects, Ceigall India Limited is all set to hit the market with its Initial Public Offering (IPO) on August 1, 2024. This article delves into the detailed aspects of the Ceigall India IPO, including its date, review, price, allotment details, and more. Investors and market enthusiasts, here’s everything you need to know.

Ceigall India IPO Overview

IPO Dates:

The Ceigall India IPO is scheduled to open on August 1, 2024, and will close on August 5, 2024. The company aims to raise approximately ₹1252.66 crores through this IPO, which includes a fresh issue of ₹684.25 crores and an offer for sale of up to 1,41,74,840 equity shares of ₹5 each.

IPO Size and Price Band:

Total IPO Size: Approx ₹1252.66 Crores
Fresh Issue: Approx ₹684.25 Crores
Offer for Sale: Approx ₹568.41 Crores
Price Band: ₹380 to ₹401 per share

Market Lot:

Minimum Market Lot: 37 shares with an application amount of ₹14,837
Maximum Market Lot: 481 shares with an application amount of ₹1,92,881

Listing: The shares will be listed on both BSE and NSE.

Company Background

Ceigall India Limited, incorporated in July 2002, has established itself as a leading infrastructure construction company. The company specializes in undertaking complex structural works, including elevated roads, flyovers, bridges, railway bridges, tunnels, highways, expressways, and runways.

Known for its quality project delivery, Ceigall India is one of the fastest-growing engineering, procurement, and construction (EPC) companies in terms of three-year revenue CAGR as of Fiscal 2023.

Project Portfolio:

Ceigall India has completed more than 34 road and highway projects, including 16 EPC and one HAM. Currently, the company is working on 15 ongoing projects, which include 11 EPC projects and four HAM projects. These projects encompass elevated corridors, bridges, flyovers, rail overbridges, tunnels, expressways, runways, and multi-lane highways.

Additionally, the company undertakes operation and maintenance (O&M) activities and has previously engaged in sub-contracting projects.

Objectives of the Ceigall India IPO

The proceeds from the Ceigall India IPO will be utilized for the following purposes:

  • Purchase of Equipment: To enhance the company’s capability in executing complex projects.
  • Repayment/Prepayment of Borrowings: To reduce the financial burden and improve the balance sheet.
  • General Corporate Purposes: To meet any miscellaneous expenses that arise.

Financial Performance

Ceigall India has shown remarkable financial performance over the past few years:

FY 2022:
Revenue: ₹1146.50 crores
Expense: ₹977.03 crores
PAT: ₹125.86 crores

FY 2023:
Revenue: ₹2087.04 crores
Expense: ₹1861.85 crores
PAT: ₹167.27 crores

FY 2024:
Revenue: ₹3066.19 crores
Expense: ₹2660.83 crores
PAT: ₹304.31 crores

Valuation Metrics

Earning Per Share (EPS): ₹19.37 per equity share

Price/Earning (P/E) Ratio: Not available

Return on Net Worth (RoNW): 33.57%

Net Asset Value (NAV): ₹57.68 per equity share

Peer Comparison

Ceigall India faces competition from several established players in the infrastructure sector. Key peers include:

  • PNC Infratech Limited
  • G R Infraprojects Limited
  • H.G. Infra Engineering Limited
  • KNR Constructions Limited
  • ITD Cementation India Limited
  • J Kumar Infraprojects Limited

Promoters

The promoters of Ceigall India Limited are:

  • Ramneek Sehgal
  • Ramneek Sehgal Sons HUF and RS Family Trust

Ceigall India IPO Allotment & Listing

Important Dates:

Basis of Allotment: August 6, 2024
Refunds: August 7, 2024
Credit to Demat Account: August 7, 2024
Listing Date: August 8, 2024

Investors can check the IPO subscription status and allotment status on the respective pages of BSE and NSE websites.

How to Apply for Ceigall India IPO

Investors can apply for the Ceigall India IPO through ASBA (Application Supported by Blocked Amount) available in their bank accounts. Here’s a guide on how you can apply:

  • ASBA through Bank Account:
  • Log in to your online bank account.
  • Go to the ‘Invest’ section and select ‘Ceigall India IPO.’
  • Enter the required details and submit your application.

Through Stock Brokers:

  • Apply via stock brokers by filling out offline forms.
  • Use platforms like Zerodha, Upstox, and Paytm Money to apply online.

Registrar and Lead Managers

Registrar:

Link Intime India Private Ltd
Phone: +91-22-4918 6270
Email: signatureglobal.ipo@linkintime.co.in
Website: Link Intime

Lead Managers (Merchant Bankers):

ICICI Securities Limited
IIFL Securities Limited
JM Financial Limited

The Ceigall India IPO offers a compelling investment opportunity, given the company’s strong financial performance, diverse project portfolio, and robust growth prospects. With the IPO date approaching, potential investors should consider the various aspects discussed in this article to make an informed decision.

For more detailed information, investors are encouraged to refer to the Draft Red Herring Prospectus (DRHP) and the Red Herring Prospectus (RHP) available on the company’s website and the respective regulatory authorities.

Invest wisely and stay updated with the latest developments in the stock market. The Ceigall India IPO is set to be a significant event, and it could potentially offer lucrative returns for investors.

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