Schedule of Afcons Infrastructure
| Issue open date | 25 Oct 2024 |
| Issue close date | 29 Oct 2024 |
| UPI mandate deadline | 29 Oct 2024 (5 PM) |
| Allotment finalization | 30 Oct 2024 |
| Refund initiation | 31 Oct 2024 |
| Share credit | 31 Oct 2024 |
| Listing date | 04 Nov 2024 |
| Mandate end date | 13 Nov 2024 |
| Lock-in end date for anchor investors (50%) | 29 Nov 2024 |
| Lock-in end date for anchor investors (remaining) | 28 Jan 2025 |
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 Afcons Infrastructure
Afcons Infrastructure was founded in 1959. It is the flagship infrastructure engineering and construction company of the Shapoorji Pallonji Group and a multinational firm headquartered in Mumbai, India. Afcons excels in diverse sectors such as marine, surface transport, urban infrastructure, hydro, underground, and oil and gas. The company provides infrastructure services and is involved in the construction of projects such as flyovers, metros, bridges, pipelines, roads, ports, barrages, and oil and gas facilities.
Financials of Afcons Infrastructure
IPO Issue size
| Funds Raised in the IPO | Amount |
| Overall | ₹5430 crores |
| Fresh Issue | ₹1250 crores |
| Offer for sale | ₹4180 crores |
Utilisation of proceeds
| Purpose | INR crores (%) |
| Capital expenditure | 80 (6.4%) |
| Working capital requirements | 320 (25.6%) |
| Debt reduction | 600 (48%) |
| General corporate purposes | 250 (20%) |
Strengths
- The company has a legacy of over six decades with a strong track record of executing complex and challenging Engineering, Procurement, and Construction (EPC) projects in India and internationally.
- The company has a diversified order book across metro and urban infrastructure works, tunneling and hydro projects, surface transport, marine, and oil and gas segments.
- Afcons Infrastructure Limited has a healthy order book position, providing strong medium-term revenue visibility and demonstrating its ability to secure projects across various segments and geographies.
- The company’s operating income has grown over the years, and expected annual revenue growth and stable operating margins have contributed to this.
Risks
- A significant portion of projects comes from government or government-owned entities, which introduces risks associated with political changes, bureaucratic delays, and funding availability.
- Projects awarded may be challenged by unsuccessful bidders, resulting in potential delays or disruptions. Legal proceedings can incur substantial costs and may lead to the termination of contracts, adversely affecting future revenues.
- Competition from other infrastructure companies, such as Larsen & Toubro Limited, KEC International Limited, Kalpataru Project International Limited, and Dilip Buildcon Limited, may threaten Afcons’ market share and profitability.
- The infrastructure industry, where Afcons operates, can be subject to regulatory changes, economic fluctuations, and project delays, which could impact the company’s performance.