GR Infraprojects Limited IPO – Ahead of issue Anil Singhvi speaks to Chairman Vinod Kumar Agarwal; with Rs 1900 cr orderbook, outlook remains strong

GR Infraprojects Limited IPO – The Initial Public Offering (IPO) of GR Infraprojects Limited (GRIL) will open on 7 July 2021. The there-day public issue will conclude on 9 July 2021. GRIL is an integrated road engineering, procurement and construction (EPC) company and the company has road and highway projects across 15 States in India, the company claims in a media release. This is an offer for sale (OFS) worth Rs 923 cr, which means that the existing investors are selling their stakes.  

Ahead of GR Infraprojects IPO, Zee Business Managing Editor Anil Singhvi spoke to Vinod Kumar Agarwal, who is chairman of the company. The Chairman said Motilal Oswal is the investor which is offering its shares. The company intends to make an exit through the IPO. 

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He said that the promoters have a stake of 86.5 per cent in the company which they will have to reduce to 75 per cent over the next three years. The proceeds of the IPO will not go to the company, he said adding that GR Infra has been able to operate on a self-sustainable basis.  

The company has seen significant rise since 2014, with the government focus on building roads and highways, Agarwal said. From Rs 800 cr turnover in 2014, the company has been able to achieve at a turnover of Rs 7,300 cr. The company has made significant strides over the last five years. 

He said that most of company’s existing projects are of National Highways Authority of India (NHAI) and the road construction work is expected to go at full swing over the next 10 years, he further said.  

The company has an orderbook of Rs 19,000 cr and it does not require any external funding, the chairman said. The company also expects to clinch orders worth Rs 15,000 cr. Any decision to raise funds on additional orders will be taken later he said. But, currently there is no requirement, he further said.    

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कल खुलेगा #GRInfraprojects का IPO

NEWS पर VIEWS में कंपनी के चेयरमैन ने कहा- आगे भी ग्रोथ का ट्रेंड बने रहने का भरोसा। मौजूदा ऑर्डर बुक ₹19,000 करोड़ की, इस साल ₹15,000 करोड़ के ऑर्डर्स मिलने की उम्मीद

देखिए पूरा इंटरव्यू: https://t.co/y8t9GtJeqc#GRInfra #IPO @AnilSinghvi_ pic.twitter.com/CaK4XTRUEq

— Zee Business (@ZeeBusiness) July 6, 2021

GR Infraprojects Limited IPO – This is what you must know about the IPO:  

• The price band of Rs 828 – Rs 837 per equity share of face value of Rs 5 each.  
• The issue opens on 7 July (Wednesday) and closes on 9 July (Friday)  
• Minimum Bid Lot is 17 Equity Shares and in multiples of 17 equity shares thereafter  
• The floor price is 165.60 times the face value of the equity share and the cap price is 167.40 times the Face Value of the equity shares.  
• The offer will be a complete Offer for Sale (OFS) up to 1.15 cr equity shares approximately. This offer includes an employee reservation portion as well.   
• The offer being only an Offer for Sale, company will not receive any proceeds from the offer, the company release said.  

The Offer is being made through the Book Building Process wherein up to 50 per cent of the net offer will be available for allocation to Qualified Institutional Buyers (QIBs), 15 per cent or above of the net offer will be available for allocation to Non-Institutional Bidders and 35 per cent or above of the net offer will be available for allocation to Retail Individual Investors (RIIs). 

HDFC Bank Limited, ICICI Securities, Kotak Mahindra Capital Company Limited, Motilal Oswal Investment Advisors Limited, SBI Capital Markets Limited, Equirus Capital Private Limited are the Book Running Lead Managers (BRLMs) to the offer.