ENA MSME 2024-07-30 16:37:13 <p><span style="font-size:14px"><strong>New Delhi, Jul 30 (KNN)</strong> VL Infraprojects, a government-approved contractor specialising in water infrastructure and irrigation projects, listed on the National Stock Exchange's Small and Medium Enterprises (NSE SME) platform on Tuesday with a significant premium.</span></p> <p><span style="font-size:14px">The stock opened at Rs 79.8, marking a 90 per cent increase from its initial public offering (IPO) price of Rs 42.</span></p> <p><span style="font-size:14px">The company's IPO, consisting of a fresh equity issuance of 44.1 lakh shares, garnered substantial interest from investors, being oversubscribed by more than 600 times.</span></p> <p><span style="font-size:14px">This strong demand was primarily driven by retail and non-institutional investors (NIIs). Prior to the listing, shares of VL Infraprojects were trading at a grey market premium of approximately Rs 60 in the unlisted market.</span></p> <p><span style="font-size:14px">Proceeds from the public offering are earmarked for funding working capital requirements and general corporate purposes, according to company statements.</span></p> <p><span style="font-size:14px">VL Infraprojects holds an AA class contractor status and is registered with various state governments. The company's core business involves the design, construction, and commissioning of government projects, with a particular focus on water supply and sewerage infrastructure.</span></p> <p><span style="font-size:14px">Their services encompass pipe procurement, laying, joining, and commissioning, along with associated civil engineering works and maintenance services for water distribution pipelines.</span></p> <p><span style="font-size:14px">Initially concentrating on water pipeline projects in Gujarat, the company has expanded its portfolio to include road construction, irrigation, and environmental projects across multiple states.</span></p> <p><span style="font-size:14px">To date, VL Infraprojects has completed approximately 30 projects valued at Rs 104.86 crore. As of July 13, 2024, the company reports 15 ongoing projects with a combined worth of around Rs 338.8 crore.</span></p> <p><span style="font-size:14px">The infrastructure sector is viewed as a critical component in India's economic growth trajectory, with investments in this area seen as essential for enhancing efficiency and reducing costs.</span></p> <p><span style="font-size:14px">These developments align with the country's ambitious goal of becoming a USD 26 trillion economy.</span></p> <p><span style="font-size:14px">For the fiscal year ending March 2024, VL Infraprojects reported total revenues of Rs 114 crore and a net profit of Rs 6.14 crore.</span></p> <p><span style="font-size:14px"><em><strong>(KNN Bureau)</strong></em></span></p> 38800 https://knnindia.co.in/news/newsdetails/msme/vl-infraprojects-debuts-on-nse-sme-with-90-premium-amid-strong-ipo-demand 2024-07-30 16:37:13 knnindia.co.in