Lakshya Powertech IPO 2024: A New Opportunity in the Power Sector

Lakshya Powertech IPO 2024: All the latest updates of the Upcoming IPO

Lakshya Powertech, a company that has made a name for itself in providing comprehensive Engineering, Procurement, Construction, and Commissioning (EPCC) services, has opened its Initial Public Offering (IPO) today on the NSE-Emerge platform.

This IPO represents a significant opportunity for investors to participate in a company that plays a crucial role in vital sectors such as Oil and Gas, Power, Industrial Infrastructure, Data Centers, and Renewable Energy.

Lakshya Powertech IPO 2024 All Updates

With a price band set between ₹171-180 per share, Lakshya Powertech aims to raise approximately ₹49.91 crore through this offering. The lot size has been fixed at 800 equity shares, making it accessible to a wide range of investors. The company has already secured ₹13.39 crore from 11 prominent anchor investors, which is a strong vote of confidence in its growth potential and market position.

Key Highlights of the Lakshya Powertech IPO

• Price Band: ₹171-180 per share
• Issue Size: ₹49.91 crore
• Lot Size: 800 equity shares
• Platform: NSE-Emerge

Lakshya Powertech’s business model revolves around delivering tailored EPCC services for projects across various high-demand sectors. These include Oil and Gas, Power, Data Centers, Industrial, and Renewable Energy. This diverse portfolio positions the company to capture growth opportunities in India’s rapidly expanding infrastructure and energy markets.

Strong Anchor Investor Participation

The company has successfully raised ₹13.39 crore from anchor investors, allocating 7,44,000 equity shares at ₹180 per share. Some of the marquee anchor investors participating in the IPO include:

• HDFC Bank Limited
• Veloce AIF – Veloce Opportunities Fund
• Coeus Global Opportunities Fund
• Rajasthan Global Securities Private Ltd
• Vikasa India EIF I Fund – Incube Global Opportunities
• Knightstone Capital LLP
• Finavenue Capital Trust – Finavenue Growth Fund

The strong anchor investor participation indicates high confidence in Lakshya Powertech’s business prospects and future growth.

Use of IPO Proceeds

Lakshya Powertech plans to use the proceeds from the IPO in the following ways:

1. Prepayment or Repayment of Borrowings: ₹450 lakh will be allocated towards reducing the company’s outstanding borrowings, improving its financial health and lowering interest costs.
2. Working Capital Requirements: A significant ₹30 crore will be directed towards funding the company’s working capital needs, enabling smoother operations and faster project execution.
3. General Corporate Purposes: The remaining funds will be used for various corporate activities that will help strengthen the company’s foundation and long-term growth potential.

Allocation Quotas

The IPO has been divided into various investor categories, ensuring broad participation across institutional and retail investors:

• Qualified Institutional Buyers (QIB): Up to 5,16,800 equity shares
• Non-Institutional Investors (NII): Up to 3,96,000 equity shares
• Retail Investors: Up to 8,96,000 equity shares
• Employee Quota: Up to 72,000 equity shares
• Market Maker Portion: 1,48,000 equity shares

GYR Capital Advisors Pvt. Ltd. is serving as the sole book-running lead manager for the IPO, while KFIN Technologies Ltd. has been appointed as the registrar to the issue.

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