Established in 1986, Vishnu Prakash R Punglia Limited is involved in the enterprise of planning and executing infrastructure projects for both Central and State Governments, as well as autonomous and private entities across 9 States and 1 Union territory within India.
The core operational segments of the company are categorized as follows:
- Water Supply Projects (WSP)
- Railway Projects
- Road Projects
- Irrigation Network Projects
VPRP holds several recognized qualifications and affiliations as a contractor from diverse departments and organizations, including but not limited to:
- Jodhpur Development Authority, Jodhpur (Class AA), Rajasthan
- Public Health Engineering Department, Rajasthan (Class AA)
- Water Resources Department, Rajasthan (Class AA)
- Roads and Building Department, Gujarat (Class AA)
- South Western Command, Military Engineering Services (MES), Jaipur (Class ‘S’)
- Public Works Department, Chhattisgarh (Class A)
- Public Works Department, Rajasthan (Class AA)
- Public Works Department, Madhya Pradesh, Bhopal (Civil works)
In the year 2021, VPRP was granted a significant Water Supply Project contract by the Public Health Engineering Department (PHED) in Manipur, valued at ₹4332.90 million. This is noteworthy in comparison to an earlier Water Supply Project awarded to the company (when it operated as a partnership firm) by PHED in Rajasthan in 2002, which was valued at ₹19.80 million.
Summary of the Industry
The Infrastructure sector plays a pivotal role in propelling India’s economic expansion by fostering the progress of interconnected domains like townships, housing, constructed infrastructure, and developmental construction projects. In the pursuit of achieving a $5 trillion economy by 2025, prioritizing infrastructure development is of paramount importance. To facilitate this, the government has introduced the National Infrastructure Pipeline (NIP), in conjunction with other strategic initiatives such as the ‘Make in India’ campaign and the production-linked incentives (PLI) program. These endeavors collectively bolster the growth of the infrastructure sector.
Traditionally, over 80% of the nation’s infrastructure expenditure has been allocated to fund transportation, electricity, water, and irrigation projects. The National Infrastructure Pipeline is distributed among the Center, State, and Private sectors with shares of 39%, 39%, and 22% respectively (Source: CareEdge Report).
The Jal Jeevan Mission (JJM), initiated by the Indian government on August 15, 2019, aims to provide Functional Household Tap Connections (FHTC) to ensure access to safe and sufficient drinking water for every rural household in the country by 2024. Simultaneously, the Atal Mission for Rejuvenation and Urban Transformation (AMRUT) 2.0 strives to secure and enhance water availability in urban areas through source conservation, water body and well revitalization, treated water recycling, reuse, and rainwater harvesting. These measures are intended to fortify urban water systems, ensuring their security and self-sustainability (Source: CareEdge Report).
Key Financial Information:
Note: All figures in million unless states
| Particulars | As of March 31, 2023 | As of March 31, 2022 | As of March 31, 2021 |
|---|---|---|---|
| Share Capital | 934.44 | 281.48 | 281.48 |
| Net Worth | 3,145.07 | 1,586.90 | 1,136.14 |
| Revenue from Operations | 11,684.04 | 7,856.13 | 4,857.31 |
| Profit / (loss) after tax | 906.43 | 448.47 | 189.82 |
| Earnings per share (basic) (in ₹) | 10.41 | 5.31 | 2.25 |
| Earnings per share (diluted) (in ₹) | 10.41 | 5.31 | 2.25 |
| Net Asset Value per Equity Share | 36.11 | 18.79 | 13.45 |
| Total Borrowings | 2,503.74 | 1,765.77 | 1,107.82 |
Objective of the Issue:
- Funding capital expenditure requirements for the purchase of equipment/machinery.
- Funding the working capital requirements of the company.
- General corporate purposes.
For more detailed information, you can refer to the IPO Prospectus (RHP) filed by the company.
| Important information regarding the IPO | |
|---|---|
| Open Date | Thursday, 24 August 2023 |
| Close Date | Monday, 28 August 2023 |
| Issue Size | ₹308.88 crores |
| Price | ₹94 to ₹99 per share |
| Lot Size | 150 Shares |
| Basis of Allotment | Thursday, 31 August 2023 |
| Initiation of Refunds | Friday, 1 September 2023 |
| Credit of Shares to Demat | Monday, 4 September 2023 |
| Listing Date | Tuesday, 5 September 2023 |
How to apply for this IPO?
You can locate the redirection link to the IPO on the home screen of the Dhan App. Alternatively, you can access it by navigating to the “Money” Section at the bottom right and swiping right to reach the “IPO” Tab.
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