Ahmedabad: Tirtha Gopicon Limited is raising Rs 44.40 crore through IPO, IPO will open on April 8. Loktej Business, Regional News

‘Tirtha Gopikon Limited’ specializes in engineering, construction and infrastructure development and is mainly focusing on roads, sewerage and water distribution projects. The company is planning to raise Rs 44.40 crore from the SME IPO. The company has received approval to launch its public issue on the NSE Emerge platform of the National Stock Exchange.

The company’s IPO will open for subscription on April 8 and close on April 10, 2024. The IPO proceeds will be used by the company to make capital investments in the company’s expansion plans including meeting working capital requirements and general corporate objectives. The responsibility of the lead manager of the issue is being performed by ‘Interactive Financial Services Limited’.

Under the IPO, the company will issue 39.99 lakh fresh equity shares of face value of Rs 10 each at a price of Rs 111 per equity share (including premium of Rs 101 per equity share). The company plans to utilize the amount of Rs 44.40 crore raised from the issue, of which Rs 33.40 crore will be used for working capital requirements and Rs 10.24 crore for meeting general corporate purposes. The minimum lot size for application is 1200 shares which is equivalent to an investment of Rs 1.33 lakh per application. 50% shares of the net offer have been reserved for retail investors in the IPO.

Incorporated in the year 2019, Tirtha Gopicon Limited is engaged in the business of road construction, sewerage and water supply in Madhya Pradesh. The company’s business is concentrated in the state of Madhya Pradesh and mainly in the cities of Indore, Chhatarpur, Sagar, Dindori, Jabalpur and Ujjain. The company is gradually expanding its presence in other states also. The company is certified with ISO 9001:2015, ISO 14001:2015 and ISO 45001:2018. The company is also registered as All Class Civil and Electrical Contractor and has executed various projects of Government Department. The company has worked as a registered civil contractor for various Central/State Government departments like ISCDL, IMC, USCL, UMC, MPJNM etc. and has also undertaken construction works for the private sector. The order book of the company till January 31, 2024 was recorded at Rs 904.98 crore.

The company has undertaken a wide range of civil engineering projects like building construction, water supply, pipelines, sewage networks, sewage treatment plants, drain taps, re-use networks, overhead tanks, GSR, road construction, lake rehabilitation etc. As of February 29, 2024, a total of 164 permanent employees (including workers) were employed in various departments of the company.

Dr. Maheshbhai Kumbhani, Founder and Managing Director, Tirtha Gopicon Limited, said, “The company has recorded excellent operational and financial performance over the years. The company’s current business is concentrated in Madhya Pradesh and we plan to gradually expand to other states. We are hopeful that post the proposed public offering, we will be able to execute our growth strategy in a manner that delivers strong returns to all stakeholders while consistently delivering quality products.”

The company has recorded excellent operational and financial performance year after year. The company has seen manifold growth in revenue and profitability over the years. In the 10 months of the financial year 2023-24 ending January 31, 2024, the company has registered a revenue of Rs 69.70 crore and a net profit of Rs 7.84 crore, while in the financial year 2022-23, the company has registered a revenue of Rs 39.15 crore and a net profit of Rs 1.80 crore. Had earned a net profit of Rs. As of January 31, 2024, the company had total net worth of Rs 15.72 crore, reserves and surplus of Rs 7.73 crore and assets of Rs 137.20 crore. As of January 31, 2024, the company’s ROE was recorded at 66.40%, ROCE at 48.40% and RONW at 22.72%. The company’s shares will be listed on the Emerge platform of NSE.