Active Infrastructures Limited had a modest entry into the stock market today, launching its shares on the NSE SME at ₹181, matching its issue price. The company’s initial public offering (IPO) was open for subscription from March 21 to March 25, 2023, and it has attracted interest, achieving a subscription rate of 1.05 times by the end of the bidding period, according to data from chittorgarh.com.
Overview of Active Infrastructures
Founded in 2007, Active Infrastructures Limited is a key player in the civil construction sector, specializing in infrastructure development and the execution of large-scale commercial projects. The company’s expertise spans various areas, including:
- Road and bridge construction
- Water supply and irrigation systems
- Development of commercial buildings such as offices and educational institutions
With operations across several Indian states—Maharashtra, Madhya Pradesh, Uttar Pradesh, and Tripura—Active Infrastructures is committed to delivering quality and safety in all its endeavors.
Active Infrastructures IPO Insights
The Active Infrastructures IPO represents a fresh issue of 4,300,200 equity shares, amounting to approximately ₹77.83 crore. Notably, the offering does not include an offer for sale (OFS) component. The funds raised through this IPO are earmarked for several strategic purposes, including:
- Meeting working capital needs
- Repaying specific loans
- Securing bank guarantees
- Investing in construction equipment
- Covering general corporate expenses
Kreo Capital Private Limited is the lead manager for this IPO, while Bigshare Services Pvt Ltd handles the registration process. Badjate Stock And Shares Private Limited is appointed as the market maker associated with this offering.
Current Market Standing and Grey Market Premium
As of today, the grey market premium (GMP) for Active Infrastructures stands at +1, indicating a slight premium of Re 1 over the issue price. This suggests that shares are expected to list at around ₹182, marking a 0.55% increase from the issue price of ₹181. The upward trend in GMP across the last twelve trading sessions reflects positive investor sentiment and anticipation of a strong market debut.
The grey market premium serves as a barometer for investor confidence, showing a willingness to pay above the offered price. With the ongoing trends, investors are keenly watching the market dynamics as the listing date approaches.
Conclusion
Active Infrastructures Limited’s debut on the stock market marks a significant milestone for the company. With a solid foundation in civil construction and a commitment to quality, the firm is poised for growth as it navigates the complexities of the public market. As investors look towards the future, the anticipation surrounding Active Infrastructures’ performance remains high.
