As the IPO season continues, LIKHITHA INFRASTRUCTURE IPO is going to hit the market on 29th September 2020. the company aims an issue size of ₹61.20 crores through this IPO.
Likhitha Infrastructure Ltd
Likhitha Infrastructure is an Oil & Gas pipeline infrastructure service provider in India, focused on laying pipeline networks along with the construction of associated facilities; and providing Operations & Maintenance services to the City Gas Distribution (CGD) companies in India. Its client base comprises of established players in the Oil and Gas Industry, both in the public and private sector. The company has a presence (including past operation) in more than 16 states and 2 Union Territories in India. The company has successfully laid over 600 km of Oil and Gas pipelines including steel and Medium-Density Polyethylene (MDPE) networks in past 5 years.
Objective of the Issue
- To meet the general working capital requirements of the business.
- general corporate purposes.
- To meet IPO issue expenditures.
Basic details about the company
| Full name | LIKHITHA INFRASTRUCTURE LTD |
| Sector | Infrastructure |
| Industy | Engineering-Construction |
| Company Website | www.likhitha.co.in |
Dates to remember
| IPO Open | 29 September 2020 |
| IPO Close | 01 October 2020 |
| Basis of Allotment | 07 October 2020 |
| Refunds date | 08 October 2020 |
| Credit to Demat Account | 09 October 2020 |
| Listing Date | 12 October 2020 |
IPO details
| Issue type | Book Built Issue IPO |
| IPO issue size | ₹59.67-₹61.20 crores |
| Number of shares offered to the public | 5,100,000 shares |
| Face value | ₹10 per equity share |
| Price band | ₹117-₹120 per equity share |
| Retail portion | 35% |
| Lot size | 125 Nos |
| Minimum application | 1 lot – 125 shares |
| Maximum application | 13 lot – 351 shares |
| Minimum application amount | ₹15,000 |
| maximum application amount | ₹195,000 |
| Listing Exchange | BSE, NSE |
More details about the company
the company has laid approximately 800 km of Oil and Gas pipelines for on-going projects. Further, it has increased the scale of operations by adopting a strategy of expansion across regions and has strategically expanded to geographies where there is a demand for providing pipeline infrastructure and O&M services. The company has executed 10.75” OD x 69 Kms Petroleum Product Pipeline for the first ever Trans-National Cross-Country Pipeline of South-East Asia connecting India to Nepal, in the Year 2019, for supply of petroleum products.
Incorporated in 1998, Likhitha Infrastructure Ltd is an oil and gas pipeline infrastructure service provider in India. The company is engaged in providing oil & gas pipelines, city gas distribution projects, Cross-Country Pipeline Projects, and operations and maintenance services as well. It is the first company that has executed the first Trans-National Cross Country Hydrocarbon Pipeline Project between India and Nepal.
With 20+ years of existence, it has spread its geographical presence across 16+ states and 2 Union Territories in India such as Delhi, West Bengal, Telangana, Gujarat, Andhra Pradesh, Madhya Pradesh, Bihar, Chandigarh, Haryana, Kerala, Orissa, Uttar Pradesh, etc. Company has a strong client base in India including both the private and public players such as ONGC, HCG, IndianOil, GAIL, etc.
Competitive strength
- Strong client base
- Diversified geographical presence in India
- Strong project execution capabilities
- Efficient business model
Financials
| Likhitha Infrastructure’s financial performance (in INR crore) | ||||
| FY2018 | FY2019 | FY2020 | ||
| Revenue | 88.6 | 140.5 | 162.8 | |
| Expenses | 77.7 | 115.2 | 136.0 | |
| Net income | 7.2 | 17.9 | 19.8 | |
| Net margin (%) | 8.1 | 12.7 | 12.2 |
Financial summary
| Particulars | For the year/period ended (₹ in lakhs) | ||
|---|---|---|---|
| 31-Mar-20 | 31-Mar-19 | 31-Mar-18 | |
| Total Assets | 10,085.61 | 8,457.38 | 6,722.91 |
| Total Revenue | 16,279.02 | 14,054.68 | 8,860.56 |
| Profit After Tax | 1,987.93 | 1,785.51 | 716.22 |
Valuation of Likhitha Infrastructure (as of FY2020)
| Earnings Per Share (EPS) | ₹13.59 |
| Price/Earnings (PE ratio) | 8.61 – 8.83 |
| Return on Net Worth (RONW) | 33.06% |
| Net Asset Value (NAV) | ₹47.83 per share |
Company Promoters
- Mr Srinivasa Rao Gaddipati
- Ms Likhitha Gaddipati
| Pre Issue Share Holding | 99.96% |
| Post Issue Share Holding | 74.11% |
Likhitha Infrastructure IPO Lead managers
Unistone Capital Pvt Ltd
Registrar of Likhitha Infrastructure IPO
Bigshare Services Private Limited
1st Floor, Bharat Tin Works Building,
Opp. Vasant Oasis Makwana Road Marol,
Andheri (East), Mumbai – 400059
Phone: +91 22 6263 8200
Email: ipo@bigshareonline.com
Website: www.bigshareonline.com
Likhitha Infrastructure Contact Details
Likhitha Infrastructure Limited
Flat No. 701, Plot No.8-3-940 and 8-3-940/A to E, Tirumala Shah Residency, Yellareddy Guda,
Ameerpet, Hyderabad-500073
Phone: +91 40 2375 2657
Email: cs@likhitha.in
Website: www.likhitha.co.in
Allotment Status
Likhitha Infrastructure IPO allotment status will be available on Bigshare Services’ website.
Click on this link to get allotment status.
Final thoughts
Likhitha Infrastructure IPO is going to hit Dalal street soon. applying for IPO is purely a personal choice. study well about the company and do subscribe if you are feeling good about the company. I hope this post gave you enough details to make a fundamental study of the company. learn well and make a wise decision
Happy Investing
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