V L Infraprojects IPO Oversubscribed 62.22x on Day 1: Retail Portion Hits 106.07x; Check GMP and Other Key Details

The initial public offering (IPO) of V L Infraprojects started on Tuesday, July 23, and will end on Thursday, July 25. The price range for this IPO is ₹39 to ₹42 per share, with a face value of ₹10. Investors can bid for a minimum of 3,000 shares or multiples thereof.

The IPO has allocated equity shares as follows: up to 8,34,000 shares for Qualified Institutional Buyers (QIB), up to 6,27,000 shares for Non-Institutional Investors (NII), up to 14,61,000 shares for Retail Individual Investors, and up to 2,40,000 shares for Market Makers.

V L Infraprojects is involved in planning, implementing, and completing government projects, particularly those related to water infrastructure and irrigation. Their work includes water supply and sewerage infrastructure projects, such as pipe procurement and installation, civil works construction, installation of electromechanical equipment, and maintenance of water distribution pipelines. The company has various permissions and registrations in Karnataka, Telangana, and Madhya Pradesh, and is a Government Approved Contractor in the “AA” Class by the Gujarat government.

According to the red herring prospectus (RHP), the company’s listed peer is EMS Ltd, which has a price-to-earnings (P/E) ratio of 13.920.

V L Infraprojects IPO subscription status

The IPO of V L Infraprojects was subscribed 62.22 times on the first day. The retail portion was subscribed 106.07 times, the NII portion 41.65 times, and the QIB portion was booked 88%. The company received bids for 18,18,21,000 shares against the 29,22,000 shares on offer, as per data on chittorgarh.com.

V L Infraprojects IPO details

The IPO, valued at ₹18.52 crore, includes a fresh issuance of 4,410,000 equity shares with a face value of ₹10. There is no “offer for sale” component. The funds raised will be used for working capital requirements and general company purposes.

Beeline Capital Advisors Pvt Ltd is the book-running lead manager for the IPO, with Skyline Financial Services Private Ltd serving as the registrar. Spread X Securities is the market maker for the V L Infraprojects IPO.

V L Infraprojects IPO GMP today

The grey market premium (GMP) for V L Infraprojects IPO is +55, indicating that shares are trading at a premium of ₹55 in the grey market, according to investorgain.com. Considering the upper end of the IPO price band and the current GMP, the estimated listing price of V L Infraprojects shares is ₹97 per share, which is 130.95% higher than the IPO price of ₹42. The ‘grey market premium’ shows how much investors are willing to pay above the issue price.