Globe Civil Projects Ltd, an engineering, procurement, and construction company, has submitted draft papers to SEBI for an initial public offering (IPO). The IPO consists of a fresh issue of 1.9 crore equity shares without any offer-for-sale component, as per the draft red herring prospectus (DRHP).
The company plans to list its shares on both the BSE and NSE. Proceeds from the IPO will be used for various purposes, including ₹75 crore allocated for working capital, ₹14.06 crore for the purchase of equipment, and the remainder for general corporate purposes.
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The promoters currently hold 88.14% of the company’s shareholding, with the remaining 11.86% owned by public shareholders such as Chanakya Opportunity Fund I. The company is looking to expand and improve its financial base through the public offering.
Globe Civil Projects focuses on executing infrastructure projects, particularly in the transport and logistics sectors, as well as social and commercial developments. As of August 31, 2024, the company’s order book stood at ₹892.95 crore, showcasing its strong market presence.
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For the fiscal year 2023-24, Globe Civil Projects reported a revenue from operations of ₹332.16 crore, a significant increase from ₹233.34 crore in FY23. This indicates the company’s growing financial performance and market expansion.
Additionally, the company’s profit after tax grew to ₹15.37 crore in FY24, up from ₹4.85 crore the previous year, reflecting strong profitability and a positive outlook for future growth within the industry.
