NACDAC Infrastructure IPO Review - Issue Date, Price, GMP, Subscription, Allotment, Lot Size, and Details

NACDAC INFRASTRUCTURE LIMITED, a prominent construction company, comprises a dedicated team of young professionals. Their collective ethos revolves around the conviction that robust infrastructure is instrumental in fostering rapid economic growth and mitigating poverty within the nation. As a result, they have committed ourselves to the meticulous development of the country's infrastructure, prioritizing the highest standards of quality.

NACDAC Infrastructure, an Book Built Issue amounting to ₹10.01 Crores, consisting entirely an Fresh Issue of 28.60 Lakh Shares. The subscription period for the NACDAC Infrastructure IPO opens on December 17, 2024, and closes on December 19, 2024. The allotment is expected to be finalized on or about Friday, December 20, 2024, and the shares will be listed on the BSE SME with a tentative listing date set on or about Tuesday, December 23, 2024.

The Share price band of NACDAC Infrastructure IPO is set at ₹33 to 35 per equity share. The Market Capitalisation of the NACDAC Infrastructure Limited at IPO price of ₹35 per equity share will be ₹36.83 Crores. The lot size of the IPO is 4,000 shares. Retail investors are required to invest a minimum of ₹1,40,000, while the minimum investment for High-Net-Worth Individuals (HNIs) is 2 lots (8,000 shares), amounting to ₹2,80,000.

GYR Capital Advisors Private Limited is the book-running lead manager while Maashitla Securities Private Limited is the registrar for the Issue. Giriraj Stock Broking Private Limited is the Market Maker for NACDAC Infrastructure IPO.

NACDAC Infrastructure Limited IPO GMP Today
The Grey Market Premium of NACDAC Infrastructure Limited IPO is expected to be 
₹ 31 based on the financial performance of the company. No real trading is done on the basis of Grey Market Premium that's why no real discovery of price can be done before the listing of shares on the stock exchange. The Grey Market Premium totally depends upon the Demand and Supply of the shares of the company in unorganized manner which is not recommended. The Grey Market Premium is mentioned for educational and informational purposes only.

NACDAC Infrastructure Limited Day Wise IPO GMP Trend 

Date IPO Price Expected Listing Price GMP Last Updated 
16 December 2024 ₹35 ₹ 66 ₹ 31 (89.26%) 06:00 PM; 16 Dec 2024
15 December 2024 ₹35 ₹ 44 ₹ 9 (25.71%) 06:00 PM; 15 Dec 2024
14 December 2024 ₹35 ₹ 44 ₹ 9 (25.71%) 06:00 PM; 14 Dec 2024

NACDAC Infrastructure Limited IPO Live Subscription Status Today: Real-Time Updates
As of 07:00 PM on 18 December 2024, the NACDAC Infrastructure IPO live subscription status shows that the IPO subscribed 1976.14 times on its Final day of subscription periodCheck the NACDAC Infrastructure IPO Live Subscription Status Today at BSE.

NACDAC Infrastructure IPO Anchor Investors Report
NACDAC Infrastructure has raised ₹2.73 Crores from Anchor Investors at a price of ₹35 per shares in consultation of the Book Running Lead Managers. The company allocate 7,80,000 
equity shares to the Anchor Investors. Check Full List of NACDAC Infrastructure Anchor Investor List.

Note:- Equity Shares allotted to Anchor Investors (if any) are allotted from Qualified Institutional Buyers (QIBs) reservation portion.
Note:- The Number of shares offered shown IPO subscription section table is calculated at the lower end of the price band and Number of shares calculated in IPO details table section is calculated at upper end of the price band in case of Book Building Issue, so there can be difference. This is because we assume shares will be issued by the company at upper band as Anchor Investors also subscribe at upper band and shares will be issued at lower band only if in case of undersubscription of IPO.

Note:- Market Maker portion (if any) are not shown separately in subscription table and included in NIIs reservation portion

NACDAC Infrastructure Limited IPO Allotment Date - Step by Step Guide to Check Allotment Status Online
NACDAC Infrastructure IPO allotment date is 20 December, 2024, Friday. NACDAC Infrastructure IPO Allotment will be out on 20th December 2024 and will be live on Registrar Website from the allotment date. Check NACDAC Infrastructure IPO Allotment Status here. Here's how you can check the allotment status:
- Navigate to the IPO allotment status page.
- Select NACDAC Infrastructure Limited IPO from the dropdown list of IPOs.
- Enter your application number, PAN, or DP Client ID.
- Submit the details to check your allotment status.
By following either of these methods, investors can quickly determine their allotment status and proceed accordingly with their investments.

Objectives of NACDAC Infrastructure Limited IPO
NACDAC Infrastructure Issue Proceeds from the Fresh Issue will be utilized towards the following objects : 
1.
750.00 Lakh is required for Working Capital
2. General Corporate Purposes

Refer to NACDAC Infrastructure Limited RHP for more details about the Company.

NACDAC Infrastructure IPO Details

IPO Date December 17, 2024 to December 19, 2024
Listing Date December 24, 2024
Face Value ₹10
Price ₹33 to ₹35 per share
Lot Size 4,000 Equity Shares
Total Issue Size 28,60,000 Equity Shares (aggregating up to ₹10.01 Cr)
Fresh Issue 28,60,000 Equity Shares (aggregating up to ₹10.01 Cr)
Offer for Sale NIL
Issue Type Book Built Issue
Listing At BSE SME
Share holding pre issue 76,65,136
Share holding post issue 1,05,25,136

NACDAC Infrastructure IPO Lot Size

Application Lots Shares Amount
Retail (Min) 1 4,000 ₹1,40,000
Retail (Max) 1 4,000 ₹1,40,000
S-HNI (Min) 2 8,000 ₹2,80,000
S-HNI (Max) 7 28,000 ₹9,80,000
B-HNI (Min) 8 32,000 ₹11,20,000

NACDAC Infrastructure IPO Timeline (Tentative Schedule)

IPO Open Date Tuesday, December 17, 2024
IPO Close Date Thursday, December 19, 2024
Basis of Allotment Friday, December 20, 2024
Initiation of Refunds Monday, December 23, 2024
Credit of Shares to Demat Monday, December 23, 2024
Listing Date Tuesday, December 24, 2024
Cut-off time for UPI mandate confirmation 5 PM on December 19, 2024

NACDAC Infrastructure IPO Reservation

Investor Category Shares Offered Reservation %
QIB Portion 5,20,000 Not More than 50% of the Issue
Non-Institutional Investor Portion 4,00,000 Not Less than 15% of the Issue
Retail Shares Offered 9,40,000 Not Less than 35% of the Issue
Market Maker Portion 2,20,000 7.69% of the Issue
Achor Investor Portion 7,80,000 Allotted from QIB Portion

NACDAC Infrastructure IPO Promoter Holding

Share Holding Pre Issue 100.00%
Share Holding Post Issue 72.83%

NACDAC Infrastructure IPO Subscription Status

Investor Category Shares Offered Shares Bid For No oF Times Subscribed
Qualified Institutional Buyers (QIB) 5,20,000 12,29,24,000 236.39
Non Institutional Investors(NIIS) 6,20,000 1,63,40,04,000 2635.49
Retail Individual Investors (RIIs) 9,40,000 2,35,34,44,000 2503.66
Total 20,80,000 4,11,03,72,000 1976.14

About NACDAC Infrastructure Limited

NACDAC Infrastructure is primarily a core-construction company specializing in comprehensive range of civil and structural services. Their core offerings encompass the construction of multi-story buildings, electrical works (both LowTension & High-Tension), steel structure works, as well as bridges (including FOBs and ROBs) and all associated civil and structural works. With a strong focus on quality and efficiency, the company serves a diverse clientele spanning government agencies, and private corporations. They have successfully completed many projects in various departments of various departments of Government of India and Government of Uttarakhand. The company has an established track record of executing projects with more than a decade of experience in construction activities. Over the years, they have successfully completed 63 projects worth ₹ 9674.88 lakhs approximately.

The Company’s Order Book as on November 30, 2024 represents the estimated revenues of ₹ 8832.66
Lakhs from the unexecuted portions of all the existing contracts. Top Clientale includes notables names likes Northern Railways, Larsen & Toubro Limited, UK PEYJAL.

As on October 31, 2024 NACDAC Infrastructure has 29 employees on payroll. The Bankers to the Company are Punjab and Sind Bank and ICICI Bank Limited.

Infrastructure Sector in India

India’s high growth imperative in 2023 and beyond will significantly be driven by major strides in key sectors with infrastructure development being a critical force aiding the progress.

Infrastructure is a key enabler in helping India become a US $26 trillion economy. Investments in building and upgrading physical infrastructure, especially in synergy with the ease of doing business initiatives, remain pivotal to increase efficiency and costs. Prime Minister Mr. Narendra Modi also recently reiterated that infrastructure is a crucial pillar to ensure good governance across sectors.

The government’s focus on building infrastructure of the future has been evident given the slew of initiatives launched recently. The US$ 1.3 trillion national master plan for infrastructure, Gati Shakti, has been a forerunner to bring about systemic and effective reforms in the sector, and has already shown a significant headway.

Infrastructure support to the nation’s manufacturers also remains one of the top agendas as it will significantly transform goods and exports movement making freight delivery effective and economical.

The "Smart Cities Mission" and "Housing for All" programmes have benefited from these initiatives. Saudi Arabia seeks to spend up to US$ 100 billion in India in energy, petrochemicals, refinery, infrastructure, agriculture, minerals, and mining.

The infrastructure sector is a key driver of the Indian economy. The sector is highly responsible for propelling India’s overall development and enjoys intense focus from the Government for initiating policies that would ensure the time-bound creation of world-class infrastructure in the country. The infrastructure sector includes power, bridges, dams, roads, and urban infrastructure development. In other words, the infrastructure sector acts as a catalyst for India’s economic growth as it drives the growth of the allied sectors like townships, housing, built-up infrastructure, and construction development projects.

To meet India’s aim of reaching a US$ 5 trillion economy by 2025, infrastructure development is the need of the hour. The government has launched the National Infrastructure Pipeline (NIP) combined with other initiatives such as ‘Make in India’ and the production-linked incentives (PLI) scheme to augment the growth of the infrastructure sector. Historically, more than 80% of the country's infrastructure spending has gone toward funding for transportation, electricity, and water, and irrigation.

While these sectors still remain the key focus, the government has also started to focus on other sectors as India's environment and demographics are evolving. There is a compelling need for enhanced and improved delivery across the whole infrastructure spectrum, from housing provision to water and sanitation services to digital and transportation demands, which will assure economic growth, increase quality of life, and boost sectoral competitiveness.

In Budget 2023-24, capital investment outlay for infrastructure is being increased by 33% to Rs.10 lakh crore (US$ 122 billion), which would be 3.3 per cent of GDP. As per the Union Budget 2023-24, a capital outlay of Rs. 2.40 lakh crore (US$ 29 billion) has been provided for the Railways, which is the highest ever outlay and about 9 times the outlay made in 2013-14. Starting with 6,835 projects, the NIP project count now stands at 9,142 covering 34 sub-sectors, as per news reports. Under the initiative, 2476 projects are under the development phase with an estimated investment of US$ 1.9 trillion. Nearly half of the under-development projects are in the transportation sector, and 3,906 are in the roads and bridges sub-sector.

The Indian Railways expects to complete total revenue of Rs. 2,64,500 crore (US$ 31.81 billion) by the end of 2023-24. India's Logistics Market is estimated to be US$ 435.43 billion in 2023 and is expected to reach US$ 50.52 billion by 2028, growing at a CAGR of 8.36%. India intends to raise its ranking in the Logistics Performance Index to 25 and bring down the logistics cost from 14% to 8% of GDP, leading to a reduction of approximately 40%, within the next five years.

In December 2022, AAI and other Airport Developers have targeted capital outlay of approximately Rs. 98,000 crore (US$ 11.8 billion) in airport sector in the next five years for expansion and modification of existing terminals, new terminals and strengthening of runways, among other activities.India currently has the fifth-largest metro network in the world and will soon overtake advanced economies such as Japan and South Korea to become the third-largest network. Metro rail network reached 810 kms and is operational in 20 cities as of September 2022.

At almost 20 kms, Mumbai monorail is the third largest route in the world after China with 98 kms and Japan with 28 kms. India plans to spend US$ 1.4 trillion on infrastructure through ‘National Infrastructure Pipeline’ in the next five years. In FY21, infrastructure activities accounted for 13% share of the total FDI inflows of US$ 81.72 billion. India will need to construct 43,000 houses every day until 2022 to achieve the vision of Housing for All by 2022. As of August 22, 2022, 122.69 lakh houses have been sanctioned, 103.01 lakh houses have been grounded, and 62.21 lakh houses have been completed, under the Pradhan Mantri Awas Yojna scheme (PMAYUrban).

Hundreds of new cities need to be developed over the next decade. Over the next 10 years, demand for urban freight is predicted to increase by 140%. Final-mile freight transit in Indian cities accounts for 50% of the total logistics expenditures in the country's increasing e-commerce supply chains. India is expected to become the thirdlargest construction market globally by 2022. Indian logistics market is estimated to touch US$ 320 billion by 2025. The overall infrastructure capex is estimated to grow at a CAGR of 11.4% over 2021-26 driven by spending on water supply, transport, and urban infrastructure. Investment in infrastructure contributed around 5% of the GDP in the tenth five-year plan as against 9% in the eleventh five-year plan. Further, US$ 1 trillion investment in infrastructure was proposed by the India’s planning commission during the 12th five-year plan, with 40% of the funds coming from the private sector.

The government has also suggested an investment of $750 billion to strengthen railway infrastructure and envisioned the Maritime India Vision 2030 which estimates massive investments in world-class infrastructure development at Indian ports.

Global investment and partnerships in infrastructure, such as the India-Japan forum for development in the Northeast are also indicative of more investments. These initiatives come at a momentous juncture as the country aims for self-reliance in future-ready and sustainable critical infrastructure.

India, it is estimated, needs to invest $840 billion over the next 15 years into urban infrastructure to meet the needs of its fast-growing population. This investment will only be rational as well as sustainable, if we additionally focus on long-term maintenance and strength of our buildings, bridges, ports and airports.

The infrastructure sector has become the biggest focus area for the Government of India. India plans to spend US$ 1.4 trillion on infrastructure during 2019-23 to have a sustainable development of the country. The Government has suggested investment of Rs. 5,000,000 crore (US$ 750 billion) for railways infrastructure from 2018-30. India's GDP is expected to grow by 8% over the next three fiscal years, one of the quickest rates among major, developing economies, according to S&P Global Ratings. India and Japan have joined hands for infrastructure development in India's Northeast states and are also setting up an India-Japan Coordination Forum for development of Northeast to undertake strategic infrastructure projects for the region.


NACDAC INFRASTRUTURE LIMITED COMPETITIVE STRENGTHS
1. 
Proven track record of efficient execution of civil projects
2. Experienced Promoters with strong management team
3. Wide range of services
4. Work Order
5. Relationship with the clients


NACDAC INFRASTRUTURE LIMITED GROWTH STRATEGIES
1. Expansion of fleet of machinery and equipment
2. Further enhance the project execution capabilities
3. Develop and maintain strong relationships with the clients
4. They intend to enter into collaboration arrangements/sub-contract with other major Engineering & Infrastructure
5. Expansion of their geographical footprint and diversify the customer base.


NACDAC INFRASTRUTURE LIMITED RISK FACTORS & CONCERNS
1. The business is majorly concentrated in the state of Uttarakhand, Uttar Pradesh and Delhi and they are exposed to risks emanating from economic, regulatory and other changes in the state of Uttarakhand and Uttar Pradesh.
2. Infrastructure projects are typically awarded to them on satisfaction of prescribed pre-qualification criteria and following a competitive bidding process.
3. Bidding for a tender necessitates a comprehensive approach, including thorough project analysis and precise cost estimations.

NACDAC Infrastructure Limited Financial Information (Restated Consolidated)

Amount in (₹ in Lakh)

Period Ended Oct 31, 2024 Mar 31, 2024 Mar 31, 2023 Mar 31, 2022
Reserve of Surplus 594.71 434.29 117.05 47.19
Total Assets 3,022.78 2,459.76 1,246.09 900.80
Total Borrowings 811.17 643.24 9.49 189.92
Fixed Assets 307.56 225.59 177.58 188.67
Cash 340.21 187.27 56.04 36.33
Net Borrowing 470.96 455.97 -46.55 153.59
Revenue 1,376.22 3,633.22 1,173.92 1,032.10
EBITDA 293.73 512.22 110.83 77.35
PAT 160.42 316.90 56.15 31.55
EPS 2.09 4.14 0.75 0.44

Note 1:- RoE & ROCE calculation in KPI is based on 31st Mar, 2024 Data, given in RHP.
Note 2:- Pre EPS and Post EPS calculation in KPI is based (Profit for the Year) on 31st Mar, 2024 Data, given in RHP.
Note 3:- RoNW calculation in KPI is based on 31st Mar, 2024 Data, given in RHP.
Note 4:- Price to Book Value calculation in KPI is based on Cap Price after Completion of an Offer, given in FINANCIAL EXPRESS
.

Key Performance Indicator

KPI Values
EPS Pre IPO (Rs.) ₹4.14
EPS Post IPO (Rs.) ₹3.01
P/E Pre IPO 8.45
P/E Post IPO 11.62
ROE 26.39%
ROCE 25.88%
P/BV 1.56
Debt/Equity 0.54
RoNW 26.39%

NACDAC Infrastructure Limited IPO Peer Comparison

Company Name EPS ROCE ROE P/E (x) P/Bv Debt/Equity RoNW (%)
NACDAC Infrastructure Limited ₹3.01 25.88% 26.39% 11.62 1.56 0.54 26.39%
K2 Infragen Limited ₹10.3 35.8% 42.3% 22.7 3.50 0.35 42.3%
Suraj Estate Developers Limited ₹22.0 28.7% 23.0% 28.2 4.83 0.79 23.0%
SRM Contractors Limited ₹13.1 28.1% 28.0% 30.6 3.39 0.16 28.0%
NACDAC Infrastructure Limited Contact Details

NACDAC INFRASTRUCTURE LIMITED

KF-120 Kavi Nagar, Ghaziabad, Uttar Pradesh, India, 201002
Contact Person : Mr. Pradeep Singh
Telephone : 0120-4242881/ +91 9319912243
Email ID : compliance.nacdac@gmail.com
Website : 
https://nacdacinfrastructure.com/index.html

NACDAC Infrastructure IPO Registrar and Lead Manager(s)

Registrar : Maashitla Securities Private Limited
Telephone : 011-45121795
Contact Person : Mr. Mukul Agarwal
Email ID : ipo@maashitla.com

Website : https://maashitla.com/

Lead Manager : GYR Capital Advisors Private Limited
Telephone : +91 87775 64648
Contact Person : Mr. Mohit Baid
Email ID : info@gyrcapitaladvisors.com

Website : https://gyrcapitaladvisors.com/

NACDAC Infrastructure IPO Review

NACDAC INFRASTRUCTURE LIMITED, a prominent construction company, comprises a dedicated team of young professionals. Their collective ethos revolves around the conviction that robust infrastructure is instrumental in fostering rapid economic growth and mitigating poverty within the nation. As a result, they have committed ourselves to the meticulous development of the country's infrastructure, prioritizing the highest standards of quality.

The Company is led by led by our Promoters Hemant Sharma and Ashish Saxena, who have extensive experience in the infrastructure construction industry and has been involved in the business since inception.

The Revenues from operations for the period ended on Oct 31, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ 1,376.22 Lakh, ₹ 3,633.22 Lakh, ₹ 1,173.92 Lakh and ₹ 1,032.10 Lakh respectively. The EBITDA for the period ended on Oct 31, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ 293.73 Lakh,  512.22 Lakh, ₹ 110.83 Lakh, and ₹ 77.35 Lakh, respectively. The Profit after Tax for the period ended on Oct 31, 2024, Fiscals ended 2024, 2023 and 2022  were ₹ 160.42 Lakh, ₹ 316.90 Lakh, ₹ 56.15 Lakh, and ₹ 31.55 Lakh respectively.

For the NACDAC Infrastructure IPO, the company is issuing shares at a pre-issue EPS of 4.14 and a post-issue EPS of ₹3.01. The pre-issue P/E ratio is 8.45x, while the post-issue P/E ratio is 11.62x against the Industry P/E ratio is 28x. The company's ROCE for FY24 is 25.88% and RoE for FY24 is 26.39%. These metrics suggest that the IPO is fully priced.

The Grey Market Premium (GMP) of NACDAC Infrastructure showing potential listing gains of 89.26%. Given the company's financial performance and the valuation of the IPO, we recommend Investors to Apply to the NACDAC Infrastructure Limited IPO for Listing gain.


Disclaimer: The information provided in this IPO review is for educational and informational purposes only and should not be construed as financial advice or an offer to buy or sell securities. The review must not be used as a singular basis of any investment decision. The views herein are of a general nature and do not consider the risk appetite or the particular circumstances of an individual investor; readers are requested to take professional advice before investing. Nothing in this document should be construed as investment advice. The content is based on publicly available information and market perceptions as of the date of publication and is subject to change. Neither the author nor the website is responsible for any losses or damages arising from the use of this information. 

About the Author
 CA Abhay Kumar (Also known as  CA Abhay Varn) is a qualified Chartered Accountant by profession and cleared CA at age 21. He is a SEBI Registered Research Analyst with Registration Number - INH300008465. He Possesses 8+ years of experience in the Stock Market Field and has also worked in Big CA firms during the training period. He is good at Technical analysis and Fundamental Analysis and uses both Technical and Fundamental analysis along with five other important factors that affect the movement of the Market namely Global Market Analysis, Upcoming Event Analysis, Institutional Money Analysis, Derivative Data Analysis, and Emotions and Sentiment of Traders and Investors in his Framework called - Technical Fundamental GUIDE to find the winning Trades.
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