Ahead of the listing, the company’s shares traded with a GMP of Rs 75 in the unlisted market.
The IPO, which was completely a fresh equity sale of 65.16 lakh shares, was subscribed 68 times at close, driven by strong interest from non-institutional investors.
The net proceeds from the public offer will be used for funding capital expenditure towards purchase of additional equipment, working capital requirements, and general corporate purposes.
Vision Infra Equipment is a solution provider in the equipment space delivering its services in airports, smart cities, irrigation, building and factories, mining, railways etc.
Also Read: Bajaj Housing Finance IPO allotment likely today: Check status, GMP, listing date and other details Its portfolio of services includes renting of road construction equipment and trading and refurbishment of these equipments.The company’s services offer several advantages, such as improved efficiency, cost control and a streamlined supply chain. The business of renting of road construction equipment is executed in two rental modes based on time-based pricing and output-based pricing.
The time-based pricing model allows customers to pay for the equipment based on how much they use it or the time duration they utilize it for, which is primarily a fixed fee.
This model is common where the company’s equipment is leased to contractors or developers in the infrastructure industry and in road construction activity like: paving. Rental based on the output of a service provider is often referred to as “output-based pricing.”
For the year ended March 2024, the company clocked total revenues of Rs 349 crore and net profit of Rs 26.68 crore.