Sattva Engineering Construction Limited (SECL), a leading EPC contracting company, has come into the spotlight with its IPO subscription status, GMP updates, and allotment details. The company focuses on the water sector, waste water management, industrial buildings, and infrastructure projects including distribution networks, pumping mains, overhead tanks, underground tanks, treatment plants, and pumping stations. With a legacy of executing several noteworthy projects, SECL continues to build on its expertise, backed by a team of seasoned civil engineering professionals.

The Sattva Engineering Construction IPO opened for subscription on August 26, 2025, and closed on August 29, 2025. This was a Book Built Issue worth ₹ 35.38 Crores, comprising a Fresh Issue of 47.16 Lakh Equity Shares. The IPO price band was fixed at ₹ 70 to ₹ 75 per share, with a lot size of 1,600 shares. For retail investors, the minimum application was two lots (3,200 shares), requiring an investment of ₹ 2,40,000 at the upper price band.

By the final day of subscription, the IPO received strong demand, with an overall subscription of 24.68 times. The tentative basis of allotment date has been set for September 01, 2025, with the shares expected to list on the NSE SME platform on September 03, 2025.

The IPO also received backing from Anchor Investors, raising ₹ 9.99 Crores by issuing 13,29,600 equity shares at ₹ 75 per share. The anchor portion was finalized in consultation with the Book Running Lead Manager (BRLM) Vivro Financial Services Private Limited. The registrar for the IPO is MUFG Intime India Private Limited, while Rikhav Securities Limited serves as the Market Maker.

In the grey market, the Sattva Engineering Construction IPO GMP has been reported at ₹ 13, which implies a potential listing price of ₹ 88 per share against the issue price of ₹ 75. This reflects an estimated listing gain of 17.33%. However, it is important to note that GMP trends are unofficial and speculative, as they depend on demand and supply in the unregulated market.

From a financial standpoint, SECL has shown consistent growth. The revenues from operations stood at ₹ 8,393.46 Lakh in FY23, ₹ 7,743.63 Lakh in FY24, and ₹ 9,484.97 Lakh in FY25. The EBITDA improved significantly, rising from ₹ 757.26 Lakh in FY23 to ₹ 1,222.71 Lakh in FY24, and further to ₹ 1,976.20 Lakh in FY25. Similarly, the Profit After Tax (PAT) showed steady progress: ₹ 103.84 Lakh in FY23, ₹ 456.37 Lakh in FY24, and ₹ 913.91 Lakh in FY25. This financial performance indicates that the company has been consistently strengthening its operations and profitability.

On the valuation side, the company reported a pre-issue EPS of ₹ 7.64 and a post-issue EPS of ₹ 5.23 for FY24. The pre-issue P/E ratio works out to 9.82x, while the post-issue P/E ratio is 14.34x. Against the industry P/E of 26x, the IPO appears reasonably priced. In terms of financial ratios, the company’s ROCE was 28.58%, ROE was 27.10%, and RoNW was 27.10% in FY24, reflecting efficient use of capital and profitability.

The objectives of the IPO include:

1. Utilising ₹ 2,750.00 Lakh to meet long-term working capital requirements.

2. Allocation of funds for general corporate purposes.

Leadership is another strength of SECL. The promoters include Mr. Santhanam Seshadri, with more than three and a half decades of experience in civil engineering and infrastructure, Mr. R Sekar, with deep expertise in waste water engineering, infrastructure, and procurement, and Mr. Jagachchandarr Sekar Uthra, who also brings valuable knowledge and leadership. Together, this experienced team has been pivotal in the company’s execution capabilities and growth journey.

In terms of investment outlook, the Sattva Engineering Construction IPO presents an opportunity for those looking at listing gains, given its GMP of ₹ 13 (17.33% expected premium). Analysts consider the IPO fairly priced when compared to its financial metrics and industry peers. However, since it is an SME IPO, investors should be mindful of the liquidity risks and volatility associated with such issues.

In conclusion, the Sattva Engineering Construction IPO subscription status highlights a strong investor appetite, with the issue being subscribed 24.68 times. Backing from anchor investors, steady financial growth, and a reasonable valuation support the company’s growth story. With the IPO allotment date on September 01, 2025, and a tentative listing date on September 03, 2025, market participants will be watching closely for the listing performance.

The Upcoming IPOs in this week and coming weeks are Goel Construction Company, Amanta Healthcare, Rachit Paints, Abril Paper Tech, Sneha Organics, Sugs Lloyd, .

The Current active IPO are Oval Projects, Anlon Healthcare, NIS Management, Sattva Engineering Construction, Globtier Infotech, Current Infraprojects, Vikran Engineering, .

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