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IRCON International Limited IPO Review (Price, DRHP)

IRCON International Limited IPO Review

IRCON International Limited is engaged in the business of engineering and construction. This company is a government company under the Ministry of Railways. It is a Delhi based company. The article will cover the entire details of the IRCON International Limited IPO Review. Besides an analytical IPO review, there are issue details, date, price, prospectus of the company.

About IRCON International Limited IPO Review Issue Details :

  • IPO Opens on โ€“ September 17, 2018.
  • IPO Closes on โ€“ September 19, 2018.
  • Issue Price โ€“ Rs. 470-Rs. 475 Per Equity Share.
  • Issue Type โ€“ Book Built Issue IPO.
  • Face Value โ€“ Rs.10 per Equity Share.
  • Min Order Quantity โ€“ 30 Shares.
  • Market Lot โ€“ 30 Shares.
  • Issue Size โ€“ 9,905,157 Equity Shares of Rs. 10 aggregating up to Rs. 470.49 Cr.
  • Listing Exchange At โ€“ BSE, NSE.
  • Draft Prospectus โ€“ Click Here.

Objectives of the issue of the Company :

  • To carry out of the company is disinvestment of up to 9,905,157 Equity Shares by the Selling Shareholder.
  • This company achieves the benefits of listing the Equity Shares on the Stock Exchanges.

About The Company โ€“

  • IRCON International Limited is incorporated in 1976.
  • This company specializes in major infrastructure projects including highways, railways, bridges, flyovers, electrical and mechanical works.
  • IRCON International Limited is the development of commercial, residential and industrial areas.
  • This company was ranked 248 on the list of 250 of the top 250 global contractors by USA based Engineering News Record (ENR).
  • IRCON International Limited is headquartered in Delhi.
  • This company has 26 project offices, 5 regional offices in India.
  • IRCON has also 5 overseas project offices in Sri Lanka, Bangladesh, Malaysia, South Africa, and Algeria.
  • This company has 1,175 full-time employees on its payroll.
IRCON International Ltd

Competitive Strengths of this company :

  • Diversified business across many countries.
  • Stong Financial performance with a robust credit profile.
  • Strong order book of Rs 223,871.7 million as on Dec 31st, 2017.
  • Continuously expanding footprint within and beyond India.

Projects of this company :

  • International and Domestic Projects :

  1. Railway.
  2. Highways.
  3. Bridge / Flyover.
  4. Buildings.
  5. Electrical.
  6. Signaling / Telecom.
  7. Mechanical.
  8. Others.

International Clients of this company :

  • Ministry of Transport, Govt. of Sri Lanka.
  • Aqaba Railway Corporation, Jordan.
  • Bangladesh Railways.
  • Ministry of Transport, Government of Malaysia.
  • CFM- Government of Mozambique.
  • FCA (Ferrovia Centro – Atlantica S. A.), Brazil.
  • Ministry of Transport, Algeria (ANESRIF).
  • Ministry of Transport & Communication, Government of Iraq.
  • Nigerian Railway.
  • Philippines National Railways – Philippines.
  • Saudi Railway Organisation – Saudi Arabia.
  • S.N.T.F., Algeria.
  • Zambian Railways, Zambia.
  • Ministry of Communication, Indonesia.

Location :

IRCON International Limited :

C-4, District Centre, Saket
New Delhi – 110017

The promoter of IRCON International Limited :

  • The Promoter of this company is the President of India acting through the Ministry of Railways.

The Board of Directors of the company :

  • Sunil Kumar Chaudhary, aged 56 years, is the Chairman and Managing Director of this company.
  • Deepak Sabhlok, aged 58 years, is the Director of Projects (Whole-time) of this company.
  • Hitesh Khanna is the Director in Works (Whole-time) of this company.
  • Mukesh Kumar Singh, aged 56 years, is the Director in Finance (Whole-time) and Chief Finance Officer of this company.
  • Rajiv Chaudhry, aged 57 years, is the Government Nominee (Part Time Official) Director of this company.
  • Ved Pal, aged 59 years, is the Government Nominee (Part Time Official) Director of this company.
  • Sanjay Kumar Singh is the Independent (Part-Time Non-Official) Director of this company.
  • Avineesh Matta, aged 58 years, is the Independent (Part-Time Non-Official) Director of this company.
  • Vasudha Vasant Kamath, aged 65 years, is the Independent (Part-Time Non-Official) Director of this company.
  • Chitta Balasatya Venkataramana, aged 62 years, is the Independent (Part-Time Non-Official) Director of this company.
  • Narinder Singh Raina, aged 51 years, is the Independent (Part-Time Non-Official) Director of this company.
  • Ashok Kumar Ganju, aged 65 years, is the Independent (Part-Time Non-Official) Director of this company.

Company Financials :

IRCON International Limited IPO

IRCON International Limited IPO Review :

Let’s have a look at the above financial statement of the company for analyzing IRCON International Limited IPO Review. The statement consists of the data of the previous five-six years of the company. In the financial year 2017-18, PAT (profit after tax) of the company stands at 3,908 lakhs which is quite lower than the financial year 2013. Therefore, it can be assumed that currently, the company is in the difficult stage. Now, move on to the prospectus of the company, draft red herring prospectus. EPS or Earnings per share in the FY 17 is at 18.90 (Basic EPS). P/E ratio is not available here. RoNW (Return on Net Worth) as per the FY 17 is at 9.65 (Standalone Financial Statement) and 10.08 (Consolidated). NAV/Share is at 385.08 (Consolidate basis).

You can check NSE bid details too for getting further assurance regarding the IPO. On the last day of application, the bid details release. In order to understand the steps to apply, you may go through our article on that. Besides the bid details, Grey Market Premium is also an important factor for analyzing the IPO. However, IRCON International Limited IPO Review holds a NEUTRAL view. Investors must think twice before applying for the IPO.

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