Enviro Infra Engineers Shares Close At 40% Premium Over Issue Price
Enviro Infra Engineers' initial public offering was subscribed 89.9 times, with the demand led by qualified institutional buyers.
Shares of Enviro Infra Engineers Ltd. closed on the National Stock Exchange on Friday at Rs 207.16 apiece, a 39.98% premium over the issue price of Rs 148. On the BSE, the share price closed at Rs 207 apiece, a premium of 39.87%.
The stock debuted on the NSE at Rs 220 apiece, a premium of 48.65% over the upper end of the initial public offering. The stock listed on the BSE at Rs 218 per share, marking a premium of 47.3%.
"The company's compound annual growth rate has been around 80%, with the Ebitda margin at approximately 130% and a CAGR of around 132% for profit after tax," Sanjay Jain, chairperson of Enviro Infra Engineers, said. "Based on the company's past performance, we are confident in our ability to maintain similar growth."
"Looking ahead, while we may not achieve the same numbers, we expect growth to remain in the range of 25–30%," he added.
Enviro Infra Engineers' IPO, which closed on Tuesday, was subscribed 89.9 times, with the demand led by qualified institutional buyers. The IPO comprised a fresh issue worth Rs 572.5 crore and an offer for sale worth approximately Rs 78 crore.
Enviro Infra Engineers plans to utilise the IPO proceeds for various purposes, including Rs 181 crore to meet working capital requirements, Rs 30 crore for infusing funds into its subsidiary, EIEL Mathura Infra Engineers, and Rs 120 crore for repaying outstanding borrowings.
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Enviro Infra Engineers Business
Enviro Infra Engineers Ltd. specialises in designing, constructing, operating, and maintaining water and waste water treatment plants and water supply scheme projects primarily for government authorities.
Its portfolio includes sewage treatment plants, sewerage schemes, and common effluent treatment plants, water treatment plants, pumping stations, and water pipeline projects. Many of its facilities are zero-liquid-discharge compliant, enabling treated water to be reused for horticulture, industrial processes, and other applications.
As of Dec. 31, 2023, the company reported an order book of 21 projects.
