Afcons Infrastructure Ltd, a construction and engineering firm backed by the diverse conglomerate Shapoorji Pallonji Group, has filed a draft red herring prospectus (DRHP) with the Securities Exchange Board of India (Sebi) in an attempt to earn Rs 7,000 crore through an initial public offer (IPO).
The company plans to raise Rs 5,750 crore through an offer for sale and Rs 1,250 crore through a new issue. The DRHP claims that Goswami Infratech Pvt Ltd will sell an interest in the OFS for about Rs 5,750 crore.
Goswami Infratech Pvt Ltd holds a 72.35 percent ownership in the company as of December 2023, while Shapoorji Pallonji and Company holds a 16.64 percent share.
The issue’s proceeds, which total Rs 150 crore, would be utilized for capital expenditures, Rs 350 crore for long-term working capital needs, and Rs 500 crore for the repayment of a portion of the company’s outstanding borrowings and acceptances. Its outstanding borrowings are Rs 2887.59 crore as of December 2023.
Current projects of Afcons:
- Agra-Lucknow. Expressway Project.
- Bhairab Railway Bridge, Bangladesh.
- Jammu Udhampur. Highway.
- Mina Salman. Interchange, Bahrain.
- Vallarpadam Railway. Bridge, India.
- Cable stayed bridge. across river Mapusa, Goa.
- Chenab Railway. Bridge, India.
- Jewel of Creek Development, Dubai.
Regarding SHAPOORJI PALLONJI GROUP
The Shapoorji Pallonji Group (SP Group) was established in 1865 in India. A diversified institution, the SP Group has a leading presence in Engineering & Construction, Infrastructure, Real Estate, Water, Energy and Financial Services sectors across the globe. It has a strong employee base of over 70,000, and, delivers end-to-end solutions across 70-plus countries. The group companies build mega-structures, develop iconic landmarks, drive innovative technologies in water management, renewable energy, oil & gas and power, with a focus on good governance, and, sustainable development, to engineer a better planet.
