Varindera Constructions Files Draft Papers To Mop-Up Rs 1,200 Cr Via IPO

Varindera Constructions has filed draft papers with capital markets regulator Sebi to mobilise Rs 1,200 crore through an initial share sale. The proposed IPO (Initial Public Offering) is a mix of fresh issue of equity shares valued at Rs 900 crore and an Offer For Sale (OFS) of shares worth Rs 300 crore by promoters, draft papers filed on Monday showed.

Varinder Kumar Garg and Sushma Garg will offload shares worth Rs 201 crore and 99 crore, respectively under the OFS. Proceeds from the fresh issue will be utilised for the purchase of equipment, to support the working capital requirements of the company, payment of debt and for general corporate purposes.

Varindera Constructions is an integrated Engineering, Procurement and Construction (EPC) company with experience in the construction of building projects, including residential units, and office complexes, as well as undertaking infrastructure projects such as metro depot and aircraft hangar.

In the last 10 fiscal years (ended March 31, 2024), the company has executed and delivered 31 construction projects with an aggregate contract value of nearly Rs 5,300 crore. As of March 2024, it has 20 ongoing projects in India and overseas, with an order book of Rs 3,845 crore. ICICI Securities, IIFL Securities and Equirus Capital are the book-running lead managers to the issue.

(PTI)