Mayasheel Ventures Limited, a prominent “A” class government contractor operating in engineering construction and EPC projects, has launched its Initial Public Offering (IPO) on June 20, 2025, and by the end of the first day, the issue was subscribed 2.57 times, indicating moderate investor interest.

This book-built issue amounts to ₹27.28 crores, and comprises a fresh issue of 58.05 lakh equity shares. The IPO is priced in the band of ₹44 to ₹47 per share and will close for bidding on June 24, 2025. The allotment is expected on June 25, and the shares are tentatively scheduled to list on NSE SME on June 27, 2025.

IPO Investment Details

• Issue Size: ₹27.28 crores (entirely fresh issue)

• Price Band: ₹44 to ₹47 per equity share

• Lot Size: 3,000 shares

• Retail Investment Minimum: ₹1,41,000

• HNI Investment Minimum: 2 lots (6,000 shares) = ₹2,82,000

• Market Capitalisation at Upper Band: ₹103.63 crores

• Listing Platform: NSE SME

• Lead Manager: Narnolia Financial Services Limited

• Registrar: Maashitla Securities Private Limited

• Market Maker: Prabhat Financial Services Limited

Grey Market Premium (GMP) & Expected Listing Price

As of June 11, 2025, the Grey Market Premium (GMP) stands at ₹3, implying an expected listing price of ₹50, representing a 6.38% premium over the upper band price of ₹47.

It is important to remember that GMP is an unofficial and speculative metric which should not be solely relied upon for investment decisions. It merely reflects market sentiment in unregulated grey markets and is not backed by any institutional exchange or data transparency.

IPO Anchor Investors & Allocation

Mayasheel Ventures managed to raise ₹7.75 crores from Anchor Investors on June 19, 2025, by allocating 16,50,000 equity shares at ₹47 per share, demonstrating limited institutional confidence.

The anchor allocation came out of the Qualified Institutional Buyers (QIB) quota and helps set the tone for overall subscription. However, the lack of oversubscription in the anchor round and muted GMP trends suggest cautious sentiment from institutional investors.

Live Subscription Status (as of June 20, 5:00 PM)

• Total Subscription: 2.57 times

• Breakdown across categories is awaited

• The IPO is open until June 24, and subscription levels on the second and third days will be crucial to assess true investor appetite.

How to Check Allotment Status for Mayasheel Ventures IPO

To check allotment status post-finalization on June 25, 2025, follow the steps below:

1. Visit the Registrar’s (Maashitla Securities Pvt Ltd) official IPO allotment webpage.

2. Select “Mayasheel Ventures Limited IPO” from the dropdown.

3. Enter your Application Number, PAN, or DP Client ID.

4. Click on "Submit" to see your allotment status.

The status will inform whether you've been allotted shares and, if yes, how many.

Objectives of the IPO

Mayasheel Ventures plans to utilize the proceeds from the IPO for the following purposes:

1. ₹400 lakhs for purchase of machinery and capital expenditure, enabling infrastructure development.

2. ₹1,400 lakhs to meet working capital requirements, essential for fulfilling current project commitments.

3. Remaining funds to be used for general corporate purposes, supporting day-to-day business needs and administrative functions.

Company Overview and Business Model

Mayasheel Ventures Limited is involved in engineering construction, primarily in roads, electrical works, and miscellaneous civil contracts. It functions both as an EPC contractor and executes item-rate contracts across government infrastructure projects.

Notably, it is registered as a Class "A" government contractor, enabling participation in high-value contracts. The company also executes sub-contracts from larger contractors, expanding its reach within the infrastructure ecosystem.

Leadership Team

The company is promoted and led by Mr. Amit Garg, who serves as Managing Director and brings 15 years of experience in road construction and civil infrastructure. The company attributes its growth trajectory to the leadership of Mr. Garg and his experienced senior management.

Financial Performance

Mayasheel Ventures has demonstrated consistent growth in revenues and profitability over the past four years. However, the growth has been moderate compared to sectoral leaders in infrastructure.

Valuation Metrics

• Pre-Issue EPS (FY24): ₹7.23

• Post-Issue EPS: ₹5.14

• Pre-Issue P/E: 6.50x

• Post-Issue P/E: 9.14x

• Industry Average P/E: 112x

• ROCE (FY24): 28.62%

• ROE (FY24): 42.83%

• RoNW: 42.83%

While the valuation appears attractive on a standalone basis, the low GMP, muted demand from anchor investors, and lower growth potential compared to other IPOs suggest that investor enthusiasm remains limited.

Investment Recommendation

Despite decent financial growth, healthy profitability metrics, and relatively low P/E ratio, the limited grey market enthusiasm (GMP ₹3 / 6.38%), only moderate first-day subscription, and lack of significant institutional backing raise red flags for short-term and long-term investors.

Given these observations, we recommend investors to AVOID the Mayasheel Ventures IPO for both listing gains and long-term investment.

Disclaimer:

This review is meant for informational purposes only and should not be construed as investment advice. Investors are urged to perform independent research or consult a SEBI-registered advisor before making financial decisions. Investing in the stock market is subject to market risks. All views presented are based on publicly available information and reflect the market outlook as of the date mentioned.

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The Current active IPO are  Aakaar Medical Technologies, Safe Enterprises Retail Fixtures, Mayasheel Ventures.

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