Ceigall India Limited IPO (Ceigall India IPO) Review –
Ceigall India Limited IPO (Ceigall India IPO) is set to open from 1st Aug 2024 to 5th Aug 2024. This article will analyze the financials , strengths and weaknesses of the Ceigall India Limited IPO (Ceigall India IPO). Keep scrolling below to read more!
Ceigall India Limited IPO (Ceigall India IPO) Overview –
Established in 2002, Ceigall India Limited is an infrastructure construction company with experience in undertaking specialized structural work, including elevated roads, flyovers, bridges, railway bridges, tunnels, highways, expressways, and runways.
The company completed over 34 road and highway projects. These projects include project 16 EPC, one HAM project, five O&M projects, and 12 Item Rate Projects.
The company has 18 ongoing projects, including 13 EPC projects and five HAM projects. These involve elevated corridors, bridges, flyovers, rail over-bridges, tunnels, expressways, runways, metro projects, and multi-lane highways.
The company specializes in the construction, development, and execution of major multi-lane highway projects with specialized structures in various states of India, including Punjab, Haryana, Rajasthan, Uttar Pradesh, Himachal Pradesh, Jammu and Kashmir, Jharkhand, Delhi, Maharashtra, and Bihar.
The company’s Order Book as of June 30, 2024, and for the fiscal years 2024, 2023, and 2022, were ₹94,708.42 million, ₹92,257.78 million, ₹108,090.43 million, and ₹63,461.30 million, respectively.
As of March 31, 2024, the company has 2,256 permanent employees
Ceigall India Limited IPO (Ceigall India IPO) Synopsis-
Ceigall India Limited IPO (Ceigall India IPO) is set to be open from 1st Aug 2024 to 5th Aug 2024, offering combination of fresh issue of 1.71 crore shares aggregating to Rs 684.25 crores and offer for sale(OFS) of 1.42 crore shares aggregating to Rs 568.41 crores. This NSE,BSE IPO follows a Book Built Issue IPO.
The total issue size of this IPO amounts to Rs. 1252.66 Crores. The company has allocated shares 35% to retail investors, 50% to institutional and 15% to non institutional investors.
| Particulars | Details |
| Opening Date | 1st Aug 2024 |
| Closing Date | 5th Aug 2024 |
| Lot Size | 37 Shares |
| Face Value | Rs. 5 |
| IPO Size | Rs. 1252.66 Cr |
| Fresh Issue | Rs. 684.25 Cr |
| IPO Price Range | Rs. 380 – 401 |
| Min. Investment | Rs. 14,837 |
| Offer for Sale (OFS) | Rs. 568.41 Cr |
| Employee Discount | Rs 38 per share |
| Basis of Allotment | 6th Aug 2024 |
| Refunds | 7th Aug 2024 |
| Listing Date | 8th Aug 2024 |
| DRHP Draft Prospectus: | Click Here |
| RHP Draft Prospectus: | Click Here |
Ceigall India Limited IPO (Ceigall India IPO) Market Lot
Ceigall India Limited IPO (Ceigall India IPO) minimum market lot is 37 shares with ₹14,837 application amount. The retail investors can apply up-to 13 lots with 481 shares or ₹192,881 amount.
| Application | Lot Size | Shares | Amount |
| Retail Minimum | 1 | 37 | ₹14,837 |
| Retail Maximum | 13 | 481 | ₹192,881 |
| S-HNI Minimum | 14 | 518 | ₹207,718 |
| B-HNI Minimum | 68 | 2516 | ₹1,008,916 |
Ceigall India Limited IPO (Ceigall India IPO) Book Running Lead Managers –
- ICICI Securities Limited
- IIFL Securities Limited
- JM Financial Limited
Ceigall India Limited IPO (Ceigall India IPO) Registrar to the offer –
The registrar for the Ceigall India Limited IPO (Ceigall India IPO) is Link Intime India Private limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
The Objective Of The Issue –
The company proposes to utilize the Net Proceeds from the IPO towards the achievement of the following objects:
- Purchase of equipment.
- Repayment/ prepayment, in full or in part, of certain borrowings availed by the Company; and company’s subsidiary CIPPL (Ceigall Infra Projects Private Limited).
- General corporate purpose.
Key Performance Indicator –
The market capitalization of Ceigall India IPO is Rs 6985.41 Cr.
KPI as of March 31, 2024.
| Earning Per Share (EPS): Post IPO | ₹17.5 per Equity Share |
| Price/Earning P/E Ratio: Post IPO | 22.91 |
| Return on Net Worth (RoNW): | 33.57% |
| PAT Margin(%) | 10.05% |
| Net Asset Value (NAV): | ₹49.59 per Equity Share |
Financial Status –
Here are some of key takeaways from financials of company for last 3 years; i.e., from FY22 to FY24, being latest year.
- As of January 2024, the company’s order book stood at ₹9,206.4 crore, with NHAI contributing 82% of the order book.
- In the fiscal year ended March 31, 2023, Ceigall reported a net profit of ₹167.3 crore, higher as compared to ₹125.9 crore in the preceding financial year.
- The company’s revenue from operations in FY23 jumped 82% to ₹2,068.2 crore, as compared to ₹1,133.9 crore in FY22.
| Particulars(in Rs. Crores) | FY 24 | FY 23 | FY 22 |
|---|---|---|---|
| Revenue From Operations | 3066.19 | 2087.04 | 1146.50 |
| PAT | 304.91 | 167.70 | 126.43 |
| Net Worth | 906.41 | 593.06 | 431.25 |
| Total Assets | 2592.19 | 1827.82 | 959.14 |
| Total Borrowings | 1811.02 | 1252.58 | 652.12 |
Evaluation of P/E Ratio
The P/E Ratio of Ceigall India Limited is N/A.
Comparative Analysis with Listed Peers
The average P/E Ratio of the industry is N/A.
Peers of Ceigall India Limited –
Ceigall India Limited peer comparison with similar listed entities. (As on March 31, 2024)
| Company Name | EPS (Basic) | NAV (per share) (Rs) | P/E | RoNW (%) | P/BV | Financial statements |
|---|---|---|---|---|---|---|
| Ceigall India Limited | 19.37 | 57.68 | 33.57 | Consolidated | ||
| Pnc Infratech Ltd | 35.45 | 202.11 | 14.75 | 17.54 | 2.59 | |
| G R Infraprojects Limited | 136.90 | 786.27 | 12.60 | 17.40 | 2.19 | |
| H.g. Infra Engineering Ltd | 82.64 | 376.71 | 20.43 | 21.94 | 4.48 | |
| Knr Constructions Ltd. | 27.64 | 124.37 | 13.17 | 21.51 | 2.93 | |
| Itd Cementation India Ltd. | 15.93 | 87.21 | 29.39 | 18.30 | 5.37 | |
| J Kumar Infraprojects Limited | 43.71 | 349.44 | 19.68 | 12.51 | 2.46 |
Ceigall India Limited IPO (Ceigall India IPO) Strengths –
- Ceigall India Limited’s rapid expansion and diverse project portfolio present opportunities for sustained growth and market leadership, backed by its strong order book and proven track record in executing complex infrastructure projects.
- With a focus on diversifying into new geographies, Ceigall India Limited can mitigate risks, tap into higher-margin opportunities, and capitalise on India’s growing infrastructure development needs.
- With over two decades of experience and a proficient management team, Ceigall India Limited’s streamlined processes, cost-effective strategies, and optimal resource management strengthen its financial stability, empowering it to pursue strategic initiatives and adapt to evolving market dynamics.
Ceigall India Limited IPO (Ceigall India IPO) Weakness –
- Ceigall India Limited heavily relies on contracts from government authorities, particularly NHAI, exposing it to risks of contract termination, restructuring, or renegotiation due to policy changes or project revocations, potentially impacting its business and financial performance.
- Despite continuous bidding efforts, Ceigall India Limited may face challenges in winning projects due to intense competition, failure to meet qualification criteria, or delays in project tendering, affecting its revenue streams and growth prospects.
- Ceigall India Limited’s strategy to diversify beyond roads and highways projects carries inherent risks, including higher costs, increased competition, and operational challenges in new segments, which may hinder its ability to successfully execute projects and achieve growth targets.
Ceigall India IPO Allotment Status
Ceigall India IPO allotment status will be available on Link Intime’s website.
Click on Link Intime IPO weblink to get allotment status.
Ceigall India Limited IPO (Ceigall India IPO) GMP Today –
IPO’s last GMP is ₹89, last updated Aug 1st 2024. With the price band of 401.00, IPO’s estimated listing price is ₹490(cap price + today’s GMP). The expected percentage gain/loss per share is 22.19%.
Note : The GMP prices shown here are only news related to the grey market. We do not trade/deal in grey market or subject to rates, nor do we recommend trading in grey market.
Conclusion –
Hope the details presented in this blog will assist you in learning about the financial performance of the company. Before making an investment in the company’s upcoming initial public offering (IPO), thoroughly research the company, its finances, business prospects, and market trends.
Also, investors should consult their financial advisor, conduct further due diligence, analyze industry trends and the competitive landscape, and consider risk factors before making an investment decision.
For all such latest information on upcoming IPOs, keep visiting our website.
