Udayshivakumar Infrastructure is engaged in road construction and is currently considering an IPO. Udayshivakumar Infra IPO will start on March 20, 2023 and end on March 23, 2023. All proceeds from the IPO will be new issuance and will be used for working capital needs. In this article Udayshivakumar Infrastructure IPO Details, IPO Dates, Financials, Full IPO Review.
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About Udayshivakumar Infra Limited
We are in the road construction business.
This includes Karnataka State Highways, State Highways, District Roads, Smart Roads under Prime Minister’s Smart City Mission Project, Smart Roads under Municipal Enterprises, Local Area Roads in Bruhat Bengaluru Mahanagara Palike and various Talka Places. increase. Construction of Bridges Construction of major and minor river crossings, railway bridges (ROB), large and small irrigation and canal projects, industrial areas based in Karnataka.
They bid for the construction of roads, bridges, irrigation and canals in Karnataka, Karnataka Public Works Port and Inland Waterways Authority, National Highways, Belgaum Smart City Ltd., Davanagere Smart City Ltd., Bruhat and other government departments. Did. Bengaluru Mahanagara Palike, various local city corporations, State Highway Development Corporations Ltd., etc.
Udayshivakumar Infra IPO Issue Details
Click here for details of the IPO project.
| IPO start date | March 20, 2023 |
| IPO closing date | 23-3-23 |
| IPO Listing Date | April 3, 23 |
| Kind of problem | Book Build Issue IPO |
| face value | 10 rupees per share |
| IPO price range | Rs 33 to Rs 35 per share |
| lot size | 428 shares |
| Minimum order quantity | 428 shares |
| list at | BSE and NSE |
| total issue size | 6.6 billion rupees |
| QIB Shares Offered | 10% or more of the offer |
| Offer of NII/HNI shares | 30% or less of the offer |
| Retail Stock Offered | 60% or less of the offer |
| company promoter | Mr. Udayshivakumar is the promoter of the company |
Udayshivakumar Infra IPO – Company Finance
| Fiscal year end/end (Amt in Crores) | ||||
| detail | 2020 | 21st year | 22nd year | September 22nd |
|---|---|---|---|---|
| Total assets | 158.3 | 146.8 | 162.6 | 178.9 |
| Earnings | 194.4 | 211.1 | 186.4 | 107.1 |
| Profit after tax | 10.5 | 9.3 | 12.2 | 10.0 |
| Profit % | 5.40% | 4.41% | 6.52% | 9.35% |
Udayshivakumar Infrastructure IPO Valuation
Its IPO price range is Rs 30 to Rs 35.
Considering last year’s 2022 EPS was Rs 3.33, the PER is 10.5x.
Considering the weighted average EPS of Rs 2.99 over the last three years, the PER is 11.7x.
Annualized assuming an EPS of Rs 2.75 for the six months ended 22nd September, the PER is 6.3 times.
Publicly traded companies like IRB Infra trade at 32x P/E (highest) and HG Infra trades at 11.3x P/E (lowest), with an industry average P/E of 19.2x. Therefore, the Udayshivakumar IPO price range with a PER of 6.3x to 11.7x is attractive.
Positive factors to invest in Udayshivakumar Infra IPO
The company focuses on road, flyover and bridge construction activities in India with strong execution capabilities and industry experience. There is currently a strong order book for roads/overpasses/bridges from Karnataka State Government.
The company has generated stable revenue and profit over the past 3.5 years.
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Risks or Negatives of Investing in Udayshivakumar Infra IPO
The company’s business is concentrated only in Karnataka. An adverse change in such a single state could affect the company’s business.
The company’s business is primarily from the Karnataka government. Changes in government strategies and policies can have a serious impact on a company’s financial performance.
Investors can read the full risk factor from the company’s RHP.
Should I invest in Udayshivakumar Infra IPO?
The company is engaged in the construction of roads, flyovers and bridges and has generated stable revenues and profits over the past three and a half years. The company’s IPO price is attractive.
On the other hand, the company’s operations are concentrated only in Karnataka and are heavily dependent on the state government. Changes in government policies and strategies may adversely affect our company.
There is currently a major correction taking place in the stock market. Investors can consider and consider investing in such companies after the market stabilizes.
Udayshivakumar Infra IPO review and analysis is based on RHP filings on SEBI website.
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Suresh KP is the founder of Myinvestmentideas. He is his NISM Certified – Investment Advisor and NISM Certified – Research Analyst. He has been analyzing financial markets for the past 20 years.
