Schedule of Sathlokhar Synergys E&C Global
| Issue open date | 30 Jul 2024 |
| Issue close date | 01 Aug 2024 |
| UPI mandate deadline | 01 Aug 2024 (5 PM) |
| Allotment finalization | 02 Aug 2024 |
| Refund initiation | 05 Aug 2024 |
| Share credit | 05 Aug 2024 |
| Listing date | 06 Aug 2024 |
| Mandate end date | 16 Aug 2024 |
| Lock-in end date for anchor investors (50%) | 02 Sep 2024 |
| Lock-in end date for anchor investors (remaining) | 31 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 Sathlokhar Synergys E&C Global
Sathlokhar Synergys E&C Global Limited’s IPO will be open from July 30, 2024, to August 1, 2024. Established in 2013, the company specializes in engineering, procurement, and construction (EPC) services for industrial, commercial, and infrastructural projects. They work in multiple states in India, including Tamil Nadu, Karnataka, Uttar Pradesh, West Bengal, and Pondicherry, on projects for different government entities through competitive bidding.
The company provides construction services for sectors including pharmaceuticals, solar projects, hospitals, hotels, resorts, and villas. As an authorized channel partner for TATA Power Solar Systems Ltd, it offers installation, sales, commissioning, and maintenance services for solar projects. The company holds ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018 certifications, demonstrating its commitment to quality, environmental, and safety standards.
Financials of Sathlokhar Synergys E&C Global
Issue size
| Funds raised in the IPO | Amount |
| Overall | ₹92.93 crores |
| Fresh issue | ₹92.93 crores |
| Offer for sale | – |
Utilisation of proceeds
| Purpose | INR crores (%) |
| Working capital requirements | 73 (78.56%) |
| General corporate purposes | 19.93 (21.44%) |
*All figures except EPS are in ₹ crores
Strengths
- Experienced Promoters and Management: The company benefits from the vision and guidance of its promoters, who collectively have over 20 years of experience in the infrastructure industry, coupled with a strong management team comprising qualified professionals.
- Specialization in EPC Turnkey Projects: The company has completed several projects in the construction, solar, and MEP works sectors, demonstrating its capacity and credibility in the market. It has over 11 years of experience carrying out EPC Turnkey projects.
- Strong Order Book: The company’s substantial order book, valued at approximately ₹669.78 crores as of April 2024, showcases its ability to secure and maintain significant projects, indicating future revenue potential.
- Established Track Record of Timely Execution: The company has a proven history of delivering projects on or ahead of schedule, leveraging trained manpower, efficient equipment deployment, and an integrated in-house model to maintain operational efficiencies.
Risks
- Regional Concentration: The company derives significant revenue from Tamil Nadu and Karnataka, exposing it to regional economic, regulatory, and political risks.
- Working Capital Intensity: Due to its long implementation times and large margin money requirements, the company has a high working capital cycle and requires a significant sum of finance for its operations.
- Litigation Involvement: The company, its promoters, and directors are involved in various litigation proceedings, which could divert resources and potentially lead to adverse judgments impacting business operations.
- Client Concentration: A significant portion of revenue is derived from a limited number of clients. The loss of any major client could negatively affect business and financial performance.
- Supplier Dependency: The company relies heavily on a few suppliers for purchases. The loss of any major supplier could disrupt operations and affect revenue and profitability.