Schedule of Mangalam Infra and Engineering
| Issue open date | 24 Jul 2024 |
| Issue close date | 26 Jul 2024 |
| UPI mandate deadline | 26 Jul 2024 (5 PM) |
| Allotment finalization | 29 Jul 2024 |
| Refund initiation | 30 Jul 2024 |
| Share credit | 30 Jul 2024 |
| Listing date | 31 Jul 2024 |
| Mandate end date | 10 Aug 2024 |
| Lock-in end date for anchor investors (50%) | 29 Aug 2024 |
| Lock-in end date for anchor investors (remaining) | 29 Oct 2024 |
Note: The schedule is tentative. The anchor lock-in period ends 30 days after the actual allotment date for 50% of the shares and 90 days after for the remaining portion. The allotment status can be checked on the registrar's website and the exchange website.
About Mangalam Infra and Engineering
Incorporated in 2010, Mangalam Infra and Engineering Limited operates as an infrastructure consultancy company. The core business involves providing project management consultancy services, including detailed project reports (DPRs), supervision and quality control (SQC), and operation & maintenance (O & M) for Highways/Roads, Bridges, Tunnels, and Buildings/Urban development. Manglam Infra and Engineering Limited undertake numerous projects both independently, as well as through joint ventures and Memoranda of Understanding with other industry players.
The company has completed a total of 127 projects, with 116 projects undertaken independently, and 11 through joint ventures and MoUs. Presently, the company has 45 ongoing projects, 22 of which are being undertaken independently, while the remaining 23 are conducted through joint ventures and MoUs. It has catered its services to various states like Madhya Pradesh, Jammu & Kashmir, Bihar, Arunachal Pradesh, Jharkhand, Himachal Pradesh, Uttar Pradesh, Manipur, Nagaland, Maharashtra, Assam, Rajasthan, Uttarakhand, and Haryana.
Financials of Mangalam Infra and Engineering
Issue size
| Funds raised in the IPO | Amount |
| Overall | ₹27.62 crores |
| Fresh issue | ₹27.62 crores |
| Offer for sale | – |
Utilisation of proceeds
| Purpose | INR crores (%) |
| Working capital requirements | 19.35 (70.05%) |
| General corporate purposes | 8.27 (29.95%) |
*All figures except EPS are in ₹ crores
Strengths
- Presence in diversified projects: The company has a presence across a spectrum of diversified projects, such as road/highway projects, bridge projects, tunnel projects, and urban development projects. It also provides consultancy services for a wide array of infrastructure projects, including detailed project reports (DPRs), Supervision and quality control (SQC), and operation & maintenance (O&M).
- Consistent financial performance: The company has demonstrated consistent growth in terms of revenues and profitability. Total revenue grew at a CAGR of 22.98% between Fiscal 2022 to Fiscal 2024 and net profit grew at a CAGR of 42.53% in the last 3 years.
Risks
- Dependence on Government projects: The company is highly dependent on Government Bodies for the Infrastructure Consultation Projects. There can also be no assurance about the projects in the future since the projects are awarded on a tender basis. Several factors may influence the company’s ability to secure future contracts from government bodies, including changes in government and its policies, reductions in infrastructure-related expenditures, and increased competition from new and established market participants.
- Geographical concentration: The company generates nearly 41% of its revenues from the state of Madhya Pradesh. Any adverse development affecting the operations in this region could have an adverse impact on the business, financial condition, and results of operations.
- Working capital-intensive business: The company operates in a working capital-intensive industry. If it experiences insufficient cash flows to meet required payments, there may be an adverse effect on the results of the operations and financial condition.
Note:
- The above schedule is tentative. The anchor lock-in period ends 30 days after the actual allotment date for 50% of the shares and 90 days after for the remaining portion.
- The allotment status will be available by July 30, 2024, on the registrar’s website and the NSE website.