Highway Infrastructure IPO Fully Subscribed, GMP Signals Potential Listing Gains

Highway Infrastructure, a leading name in tollway collection, EPC infra, and real estate, has launched its ₹130 crore Book Built IPO, offering investors a well-diversified infrastructure play with a focus on steady growth and profitability. With a solid track record and competitive valuation, this issue has garnered strong interest from retail and institutional investors alike.

The IPO opens on August 5, 2025, and closes on August 7, 2025, with a tentative listing date on August 12, 2025, on both BSE and NSE. The price band is set at ₹65 to ₹70 per equity share, with a lot size of 211 shares, translating to a minimum retail investment of ₹14,770.

IPO Details at a Glance

• IPO Size: ₹130.00 Crores

• Fresh Issue: 139.31 lakh shares (₹97.52 Cr)

• Offer for Sale (OFS): 46.40 lakh shares (₹32.48 Cr)

• Price Band: ₹65 – ₹70

• Lot Size: 211 shares

• Retail Investment (Min): ₹14,770

• HNI Investment (Min): 14 lots = 2,954 shares = ₹2,06,780

• Tentative Listing Date: August 12, 2025

• Market Cap at ₹70: ₹502.04 Crores

Financial Performance: Stable Growth with Profit Consistency

The company's financials reflect sustained growth across all major metrics:

Despite a minor revenue dip from FY24 to FY25, PAT and margins remain strong, showcasing the firm’s efficient cost control and operational execution. The consistent EBITDA and PAT figures reflect strong cash generation and operational stability.

Key Ratios and Valuation

These indicators suggest the IPO is fairly priced, offering investors reasonable upside potential without excessive premium.

GMP Trend and Market Sentiment

The Grey Market Premium (GMP) for Highway Infrastructure is hovering around ₹20 per share, implying a potential listing price of ₹90, which is a 28.57% premium over the upper price band.

The listing gains, based on current GMP, look promising. However, GMPs are speculative and not officially tracked or recommended for investment decisions. Still, they do offer a sentiment pulse of the market, which is currently positive.

Subscription Status (as of Aug 6, 7:00 PM)

The IPO has been oversubscribed 30.03 times on Day 2, highlighting strong demand across investor categories. Anchor investors alone contributed ₹23.39 Crores at ₹70 per share, indicating high institutional confidence.

Anchor Investor Participation

Highway Infrastructure has successfully raised ₹23.39 Cr from Anchor Investors, allotting 33,42,856 shares at ₹70 per share. This pre-IPO confidence from institutions often bodes well for retail participation.

Management Team and Governance

The leadership team is composed of seasoned professionals:

• Arun Kumar Jain – Managing Director, responsible for overall strategic planning and execution.

• Anoop Agrawal – Whole-time Director & CFO, handling finance, government relations, and expansion.

• Ankit Tandon – CEO, overseeing daily operations, bidding, and project execution.

This team brings both industry experience and strategic foresight, which supports sustained business growth.

Use of IPO Proceeds

The company plans to utilize the net proceeds for:

1. Working Capital Requirements – ₹65 Crores (₹650 Million)

2. General Corporate Purposes

This ensures operational liquidity, supporting new project execution, especially in tollway and EPC segments.

Allotment and Listing Timeline

• IPO Opens: August 5, 2025

• IPO Closes: August 7, 2025

• Allotment Date: August 8, 2025

• Listing Date: August 12, 2025

You can check your IPO allotment status via the registrar BIGSHARE SERVICES PVT LTD, using application number, PAN, or DP ID.

Verdict: Should You Apply?

Considering the following:

• Consistent profits with rising PAT

• Reasonable valuation vs industry average

• Strong GMP and anchor investor backing

• Robust ROE/ROCE metrics

Disclaimer
This article is for educational and informational purposes only and does not constitute financial advice. Investment decisions should be based on individual risk tolerance and consultation with SEBI-registered advisors. Market conditions are volatile and subject to change. Neither the author nor the platform is responsible for losses arising from use of this information.

The Upcoming IPOs in this week and coming weeks are Regaal Resources, Mahendra Realtors and Infrastructure, Bluestone Jewellery and Lifestyle, Icodex Publishing Solutions, Star Imaging and Path Lab, Medistep Healthcare, ANB Metal Cast.

The Current active IPO are ConnPlex Cinemas, ALL Time Plastics, JSW Cement, Sawaliya Foods Products, Highway Infrastructure.

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