Important developments have emerged for investors interested in Initial Public Offerings (IPOs) in India. The Securities and Exchange Board of India (SEBI) has granted approval for five companies to launch their IPOs. The companies granted this approval are Afcons Infrastructure, Godavari Biorefineries, Shivalik Engineering, Quadrant Future Tech, and Enviro Infra Engineers.
Overview of Approved IPOs
These approvals are a significant step for these companies as they prepare to raise funds through public offerings. Each company has distinct business operations and fundraising goals, contributing to a diverse investment landscape for potential investors.
1. Afcons Infrastructure
Afcons Infrastructure, part of the Shapoorji Pallonji Group, is a leading player in infrastructure engineering and construction. The company plans to raise ₹7,000 crore through its IPO, which includes a fresh issuance of shares worth ₹1,250 crore and an Offer for Sale (OFS) of up to ₹5,750 crore by its promoter, Goswami Infratech. This IPO filing was officially submitted to SEBI on March 28, 2024.
2. Godavari Biorefineries
This company, an investment arm of Mandala Capital AG, aims to issue fresh equity shares valued at ₹325 crore. Additionally, 65.26 lakh equity shares will be offered through an OFS by investors and promoters. The funds raised will primarily be used to reduce existing debt. Godavari Biorefineries re-filed its IPO papers with SEBI on June 13, 2024.
3. Shivalik Engineering
Shivalik Engineering is seeking to raise ₹335 crore through its upcoming IPO. The offering will consist of fresh equity shares, alongside an OFS of 41.3 lakh shares by existing shareholders. The company is notable for its precision engineering solutions and aims to utilize the funds to enhance working capital.
4. Quadrant Future Tech
Quadrant Future Tech has expressed plans to raise ₹275 crore solely through new equity issues. The company specializes in providing specialty cables for defense and railway applications. The funds will serve as working capital and support the development of advanced systems, including electronic interlocking systems.
5. Enviro Infra Engineers
Enviro Infra Engineers focuses on developing water and wastewater treatment facilities. The company aims to offer 4.42 crore equity shares in a fresh issue and 52.68 lakh shares through an OFS by its promoters, having re-filed its IPO papers with SEBI on June 26, 2024.
Table of Upcoming IPOs
| Company | IPO Size (₹ crore) | Fresh Issue (₹ crore) | OFS (Equity Shares) |
|---|---|---|---|
| Afcons Infrastructure | 7,000 | 1,250 | 5,750 (by Goswami Infratech) |
| Godavari Biorefineries | Not specified | 325 | 65.26 lakh (by promoters and investors) |
| Shivalik Engineering | 335 | 335 | 41.3 lakh (by existing shareholders) |
| Quadrant Future Tech | 275 | 275 | None (only fresh issue) |
| Enviro Infra Engineers | Not specified | Not specified | 52.68 lakh (by promoters) |
Conclusion
The approval by SEBI marks a crucial stage for these companies as they conduct their IPOs, offering investors an opportunity to participate in their growth journeys. While Afcons Infrastructure and Shivalik Engineering have laid out substantial fundraising plans, Godavari Biorefineries and Quadrant Future Tech promise specialized solutions in their respective fields, enhancing the diversity of options for potential investors.
As companies move forward with their IPOs, investors are encouraged to conduct thorough research and consider the unique characteristics of each company before making investment decisions.
