AVP Infracon shares list at 5% premium over IPO price

The issue received a healthy response from investors with an overall subscription of 20 times at close, driven by strong non-institutional interest.

The net proceeds from the public offer will be used for funding capital expenditure, requirements, and general corporate purposes.

AVP Infracon is involved in the construction of road projects based on bill of quantities (BOQ) and engineering, procurement, and construction (EPC) methods. Its core competence includes constructing, building, altering, acquiring among others all types of infrastructure developmental works, constructions works for high value projects like express ways, national highways etc.,

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The company has in-house capabilities to deliver a project from conceptualisation to completion with fast turnaround time from acquisition to launch to completion, which focuses on de-risking and improving return on investment.

In the last decade, AVP Infracon claims to have excelled in diverse projects, including government contracts and national initiatives, bringing it reputation as a trusted construction firm.

The company has 14 years of experience in the business and 100+ experienced employees (including contractual) working towards. It has completed 40 projects as of filing the red herring prospectus (RHP).

The forecast for the roads and highways market in India indicates a remarkable CAGR of 36.16% from 2016 to 2025. This projection is attributed to the government's increasing initiatives to enhance the transportation infrastructure across the country.

For the period ended September 2023, the company clocked revenues of Rs 74 crore and net profit of Rs 8.55 crore.

Share India Capital acted as the lead manager to the issue and Purva Sharegistry was the registrar.

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