Deepak Builders & Engineers India Limited IPO

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They are a diversified engineering and construction company with a focus on executing large-scale infrastructure and construction projects across various sectors. Their expertise lies in delivering both Construction Projects and Infrastructure Projects, encompassing a wide range of developments.

Core Services:

i. Construction Projects
ii. Infrastructure Projects

They undertake these Construction & Infrastructure Projects in two key formats:
i. EPC (Engineering, Procurement, and Construction) Contracts: Fixed-sum turnkey projects, where they deliver end-to-end services.
ii. Item-rate/Percentage Basis: Projects executed based on specific rates or percentages of the total cost.

Integrated Capabilities:

Their services include a wide range of specialized works, such as:
i. Architectural & Structural Work                                ii. Civil Works
iii. HVAC Systems                                                                iv. Mechanical, Electrical, and Plumbing (MEP)
v. Firefighting & Fire Alarm Systems                           vi. IT Infrastructure
vii. Medical Gas Pipeline Systems                                 viii. Modular Operation Theatres
ix. Landscaping & External Development

Geographic Presence:

They have successfully expanded across key states and regions in India:
i. States: Punjab, Haryana, Rajasthan, Uttarakhand
ii. Union Territories: Chandigarh, National Capital Territory of Delhi

Objects of the Deepak Builders & Engineers India Limited IPO:

The Company proposes to utilize the Net Proceeds from the Fresh Issue towards funding the following objects: i. Repayment/prepayment, in full or part, of certain borrowings availed by the Company; ii. Funding of working capital requirements of the company and iii. General corporate purposes. Total number of share issues :- i. Fresh issue is 10,700,000 shares, ii. Offer for sales is 2,110,000 shares.
DRHP of Deepak Builders & Engineers India Limited IPO
RHP of Deepak Builders & Engineers India Limited IPO

Deepak Builders & Engineers India Limited IPO Details:

Open Date: Oct 21 2024
Close Date: Oct 23 2024
Total Shares: 12,810,000
Face Value: ₹ 10 Per Equity Share
Issue Type: Book Building
Issue Size: 260.04 Cr.
Lot Size: 73 Shares
Issue Price: ₹ 192 - 203 Per Equity Share
Listing At: NSE,BSE
Listing Date: Oct 28 2024

Promoters And Management:

Deepak Kumar Singal, the Chairman and Managing Director, founded M/s Deepak Builders in 1990, which was later acquired by the company in 2018. With over 30 years of experience in the construction industry, he oversees the company’s day-to-day operations and growth. He has been on the Board since the company's inception and was honored as “The Businessman of the Year” by the Chief Minister of Punjab in 2012. Sunita Singal, a Whole-time Director of the Company, has been on the Board since its incorporation. She holds a bachelor's degree in Arts from Khalsa College of Women, Ludhiana, and has 11 years of experience in the construction industry. Previously a partner at M/s Deepak Builders since 2012, she now oversees the administrative affairs of the Company. Inder Dev Singh, an Independent Director of the Company since May 25, 2022, holds a Bachelor's degree in Law from Punjab University. With over 40 years of experience in banking and finance, he retired as Chief General Manager of Punjab National Bank in 2010.

Financials of Deepak Builders & Engineers India Limited IPO:

Particular (In Crores) 3MFY25 Mar-24 Mar-23 Mar-22
Revenue from Operations 105 511 433 363
Cost of Material Consumed 50 268 289 249
Operating Cost 15 86 67 49
Employee Cost 6 31 20 16
Other Expenses 3 13 6 6
EBITDA 31 113 51 43
EBIDTA Margin 29.52% 22.11% 11.78% 11.85%
Other income 1 5 2 2
Depreciation 2 7 5 3
Interest 6 28 18 16
Profit before tax 23 82 29 24
Tax 9 21 7 6
Net profit 14 61 22 18
NPM (%) 13.21% 11.82% 5.06% 4.93%
EPS 3.90 17.00 6.13 5.02

Comparison With Peers:

Name of the Companies Revenue (Cr) Profit (Cr) EPS P/E CMP Mcap (cr)
Deepak Builders & Engineers India Limited 511 61 17 12 203 728
IRCON International Limited 12331 930 9.88 20.8 214 20111
Ahluwalia Contracts (India) Limited 3,855 375 55.9 35.6 1140 7632
PSP Projects Limited 2462 124 20.7 34.42 634 2517
ITD Cementation Limited 7718 274 15.93 30.3 568 9763
All the data is as per FY24

Lead Manager of Deepak Builders & Engineers India Limited IPO:

  1. Fedex Securities Limited

Registrar of Deepak Builders & Engineers India Limited IPO:

  1. Kfin Technology Private Limited

Company Address:

Deepak Builders & Engineers India Limited Ahluwalia Chambers, 1st Floor Plot No. 16 &17, Local Shopping Centre Madangir, near Pushpa Bhawan, South Delhi- 110062 Phone: +91 9875909242 Email: investor@deepakbuilders.co.in Website: https://www.deepakbuilders.co.in/

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