Vision Infra Equipment Solutions IPO Review: GMP, Dates, share price, issue details, 10 key things t

Team FS

    03/Sep/2024

Key Points

Vision Infra Equipment Solutions IPO opens for subscription from September 06 to September 10, 2024, with a share price band of ₹155 to ₹163.

The issue amount totals ₹106.21 Crores, consisting entirely of a Fresh Issue of 65.16 lakh shares.

The company provides equipment solutions for sectors such as airports, smart cities, and mining.

Financial metrics show steady growth: revenue from ₹30,510.16 Lakhs in FY22 to ₹34,965.58 Lakhs in FY24.

Vision Infra Equipment Solutions Limited (VIESL) is a prominent player in the equipment solutions sector, offering services across a range of industries including airports, smart cities, irrigation, building and factories, mining, and railways. The company's portfolio includes the renting, trading, and refurbishment of road construction and other equipment, catering to diverse and growing market needs.

The upcoming IPO of Vision Infra Equipment Solutions is a Book Built Issue amounting to ₹106.21 Crores, which consists entirely of a Fresh Issue of 65.16 lakh shares. The subscription period for this IPO is from September 06 to September 10, 2024, with shares listed on the NSE SME. The allotment is expected to be finalized around Wednesday, September 11, 2024, and the shares are anticipated to list on Friday, September 13, 2024.

The share price band for the IPO is set between ₹155 and ₹163 per equity share. Retail investors are required to invest a minimum of ₹130,400, while High-Net-Worth Individuals (HNIs) must invest in at least 2 lots (1,600 shares), amounting to ₹260,800. HEM SECURITIES LIMITED is the book-running lead manager, and LINK INTIME INDIA PRIVATE LIMITED is the registrar for the issue. Hem Finlease Private Limited serves as the sole Market Maker.

Financial Performance

Vision Infra Equipment Solutions has demonstrated steady financial growth. Revenue increased from ₹30,510.16 Lakhs in FY22 to ₹34,965.58 Lakhs in FY24. The company's EBITDA also saw growth from ₹3,411.67 Lakhs in FY22 to ₹8,152.67 Lakhs in FY24, reflecting enhanced operational efficiency. Profit After Tax (PAT) improved from ₹927.88 Lakhs in FY22 to ₹2,668.90 Lakhs in FY24, indicating strong profitability.

For the IPO, VIESL is offering shares with a pre-issue EPS of ₹15.43 and a post-issue EPS of ₹10.83. The pre-issue P/E ratio is 10.56x, and the post-issue P/E ratio is 15.05x, compared to the Industry P/E ratio of 16.15x. The company’s Return on Capital Employed (ROCE) for FY24 is 28.19%, and Return on Equity (ROE) is 130.95%, suggesting a favorable valuation for the IPO.

Objectives of the IPO

The proceeds from the Vision Infra Equipment Solutions IPO will be utilized as follows:

₹4,681.15 Lakhs for funding capital expenditure towards the purchase of additional equipment.

₹3,650.00 Lakhs for meeting working capital requirements.

General Corporate Purposes.

Allotment Status

Investors can check the Vision Infra Equipment Solutions IPO allotment status on September 11, 2024. To verify:

Visit the IPO allotment status page.

Select Vision Infra Equipment Solutions Limited IPO from the dropdown list.

Enter your application number, PAN, or DP Client ID.

Submit the details to check your allotment status.

Conclusion

Vision Infra Equipment Solutions Limited presents a compelling investment opportunity with its solid market presence and growth prospects. The IPO offers a fair valuation and is supported by strong financial metrics. It is recommended for investors seeking potential gains and long-term growth in the equipment solutions sector.

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