Integrity Infrabuild Developers Ltd. has launched its Initial Public Offering (IPO) on the NSE SME platform, and the public subscription begins May 13, 2025, and will remain open until May 15, 2025. This IPO is grabbing attention for its presence in critical infrastructure projects in Gujarat and its steadily growing financial performance.

IPO Structure and Details

The Integrity Infrabuild Developers IPO is a Fixed Price Issue of ₹12.00 crore, consisting entirely of a fresh issue of 12 lakh equity shares. The IPO is priced at ₹100 per equity share, with the minimum lot size of 1,200 shares, which amounts to a minimum retail investment of ₹1,20,000. High-Net-Worth Individuals (HNIs) need to apply for at least 2 lots (₹2,40,000 investment).

• IPO Price: ₹100 per equity share

• Lot Size: 1,200 shares

• Retail Investment: ₹1,20,000 minimum

• Total Issue Size: ₹12 crore (fresh issue only)

• Expected Market Capitalisation: ₹43 crore

• Listing Exchange: NSE SME

• IPO Open Date: May 13, 2025

• IPO Close Date: May 15, 2025

• Allotment Date: May 16, 2025 (Tentative)

• Listing Date: May 20, 2025 (Tentative)

The issue is managed by Aryaman Financial Services Limited, with MUFG Intime India Private Limited acting as the registrar. Aryaman Capital Markets Limited is appointed as the market maker.

IPO Objective Breakdown

The net proceeds from the IPO are intended for the following purposes:

• ₹503.00 Lakh for Capital Expenditure (purchase of machinery and equipment)

• ₹364.00 Lakh to fund working capital requirements

• ₹240.00 Lakh for General Corporate Purposes

These objectives show the company’s intention to strengthen operational capacity and support its ongoing and upcoming infrastructure projects.

Integrity Infrabuild Developers' Business Overview

Integrity Infrabuild Developer Ltd. has carved out a significant position in India’s infrastructure landscape. The company undertakes state highways, bridges, government buildings, and other public infrastructure development projects in Gujarat.

Their strategic alignment with government-backed infrastructure expansion gives them a competitive advantage in public-sector project execution.

Management and Promoter Experience

The company’s growth has been supported by an experienced management team:

• Keyurkumar Sheth – Over a decade in the construction industry

• Rajendrakumar Sheth – More than 30 years of experience across construction and other activities

• Disha Keyurkumar Sheth – Over 5 years of construction sector experience

This leadership background enhances the firm’s credibility in the competitive infrastructure sector.

Financial Performance – Strong Growth Trajectory

The financial data showcases consistent revenue growth and profitability improvement over the years:

Revenue from Operations

• FY22: ₹3,348.19 lakh

• FY23: ₹4,523.33 lakh

• FY24: ₹6,463.39 lakh

• 9M FY25 (till Dec 31, 2024): ₹6,896.80 lakh

EBITDA

• FY22: ₹174.34 lakh

• FY23: ₹273.87 lakh

• FY24: ₹371.36 lakh

• 9M FY25: ₹571.64 lakh

Profit After Tax (PAT)

• FY22: ₹29.96 lakh

• FY23: ₹29.44 lakh

• FY24: ₹94.85 lakh

• 9M FY25: ₹194.30 lakh

These figures reflect a sharp uptick in revenue and profitability, particularly in the latest fiscal year.

Key Ratios and Valuation Metrics

• Pre-Issue EPS (FY24): ₹3.06

• Post-Issue EPS (FY24): ₹2.21

• Pre-Issue P/E: 32.68x

• Post-Issue P/E: 45.33x

• Industry Average P/E: ~37x

• ROCE (FY24): 13.14%

• ROE (FY24) and RoNW: 30.60%

• Annualised EPS (FY25): ₹8.36

• PE Ratio (based on annualised EPS): 11.96x

Although the post-issue valuation looks a bit stretched, the annualised EPS-based PE looks reasonable.

Grey Market Premium (GMP) and Listing Expectations

As of the latest update:

• GMP: ₹0

• Expected Listing Price: ₹100

• Indicated Listing Gain: 0%

This means the IPO is not commanding any premium in the unlisted grey market as of now. It indicates a neutral investor sentiment and possibly no listing pop.

Note: GMP is unofficial, speculative, and not a reliable indicator of listing price. It's shared here purely for informational purposes.

Live Subscription Status (as of 12:00 PM, May 13, 2025)

The IPO has seen subscription of 0.11 times on its first day of bidding, indicating a lukewarm response so far.

Investors can track real-time subscription status via NSE’s official SME IPO portal.

How to Check IPO Allotment Status

Allotment Date: May 16, 2025 (Friday)

To check the status:

1. Visit the IPO registrar’s website – MUFG Intime India Pvt Ltd

2. Select "Integrity Infrabuild Developers Limited IPO" from the dropdown

3. Enter your Application Number / PAN / DP Client ID

4. Click Submit to view status

Alternatively, you can also check through your broker's dashboard.

Expert Recommendation – Avoid for Listing Gains

Although financials show consistent growth, the GMP of ₹0 and high post-issue PE ratio of 45.33x compared to industry average raises concern for short-term listing gains.

Recommendation: Avoid the IPO for listing gains. Wait and watch post-listing price performance for better entry.

However, long-term investors with interest in infrastructure and government project-based companies can consider evaluating the company further post listing.

Final Words

Integrity Infrabuild Developers Limited brings to the table a decent financial track record, steady revenue growth, and clear capital allocation plans from IPO proceeds. However, valuation pressure and flat GMP trends call for a cautious approach. 

The Upcoming IPOs in this week and coming weeks are Integrity Belrise Industries, Accretion Pharmaceuticals, Wagons Learning.

The Current active IPO are Integrity Infrabuild Developers, Virtual Galaxy Infotech.

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