Annu Projects IPO

About Annu Projects IPO

Annu Projects IPO opens on TBA and closes on TBA. The allotment of shares will take place on TBA. The credit of shares to the Demat account will take place on TBA. The initiation of refunds will take place on TBA. The listing of shares will take place on TBA.

The IPO of Annu Projects comprises only a fresh issue of shares. It has no offer for sale. The fresh issue comprises up to 22,000,000 equity shares. The lot size of shares in the IPO is TBA and the price band of shares is TBA.

The minimum investment amount required by a retail investor is TBA based on the upper price. The minimum lot for retail investors is TBA (XXXX shares).

Annu Projects is engaged in the design, development, implementation, operations and maintenance of essential overhead and underground utilities infrastructure across telecom infrastructure, sewerage infrastructure vertical and gas pipeline vertical. It is one of the diversified companies in the EPC sector, involved in fields ranging from fibre optics to sewerage projects. It also undertakes gas pipeline projects.

Objectives of Annu Projects IPO

The company proposes to utilise the IPO proceeds for:

• Funding capital expenditure requirements for purchase of machinery or equipment
• Funding the company’s working capital requirements
• General corporate purposes

Industry Outlook

The Engineering, Procurement, and Construction (EPC) industry in India is a cornerstone of the nation’s infrastructure development, playing a key role in sectors such as energy, transportation, water management, and industrial projects. The EPC model involves a single entity managing the design, procurement of materials, and construction of a project, delivering a functional facility to the client. This integrated approach ensures efficiency, quality, and accountability.

The EPC industry’s advantages such as single-point accountability, cost and time efficiency, risk mitigation, and scalability-position it as a critical model for large-scale projects. Growth drivers like government initiatives, renewable energy expansion, and smart city projects further bolster its prospects.

By addressing challenges such as regulatory delays and skill gaps, the industry is well-placed to support India’s infrastructure and economic transformation.

Annu Projects Company Information

Annu Projects is engaged in the design, development, implementation, operations and maintenance of essential overhead and underground utilities infrastructure across telecom infrastructure, sewerage infrastructure vertical and gas pipeline vertical.

It is one of the diversified companies in the EPC sector, involved in fields ranging from fibre optics to sewerage projects and also undertakes gas pipeline projects

Strengths of Annu Projects

• Established expertise in engineering, procurement and commissioning projects with special focus on underground and overhead utilities infrastructure
• Project management with integrated execution capabilities
• Strong order book
• Strong and consistent financial performance
• Experienced leadership and strong management team

Risks of Annu Projects

• Any slowdown in telecom sector, sewerage sector or decrease in demand of any services provided by it could materially and adversely impact business
• If the company fails to secure new projects, it will impact its business, results of operations and financials
• In case the company does not get RoW (Right of Way) or there is delay in submission of application for the same, it may impact business
• Imposition of penalties, liquidated damages or invocation of bank guarantees may have a material adverse effect on business
• Failure to tie up with consortium/joint bidding partners may adversely impact business operations
• Failure on part of sub-contractors may lead to delay in execution of the projects
• Failure to effectively manage working capital requirements could adversely impact business prospects
• The company may not be successful in expansion into such geographies, which may adversely affect its business
• Long trade receivable cycles may impact operations and may require obtaining additional borrowings, impacting profitability
• Any loss of any major supplier may impact business and operations

Anchor Investor Bidding Date

TBA

IPO Registrar and Book Running Lead Manager

• IPO Registrar: KFin Technologies
• Book Running Lead Manager: Mefcom Capital Markets

Annu Projects Business Model

Annu Projects classifies its business majorly under the following three verticals:

• Telecom infrastructure
• Sewerage infrastructure
• Gas pipeline

The company is awarded contracts through a transparent competitive bidding process undertaken by the central government or state government. Additionally, it also executes projects as sub-contractors from various private parties.

Annu Projects Growth Trajectory

The revenue from operations of Annu Projects grew from ₹111.562 crores in FY 22 to ₹153.982 crores in FY 24. Its EBITDA margin increased from 9.45% in FY 22 to 18.58% in FY 24, while PAT margin increased from 3.16% in FY 22 to 11.29% in FY 24. Project management with integrated execution capabilities and a strong order book have contributed to the company’s growth over the years.

Annu Projects Market Position

Annu Projects is one of the most diversified companies in the EPC sector. Over the years, it has gained expertise in laying the overhead and underground utilities infrastructure and has laid more than 25,000 kms of optical fibre cable network and maintenance of more than 50,000 km of OFC networks in telecom infrastructure vertical across 8 states and 2 union territories in India.

The company’s business is complemented by its quality and safety standards and processes, as evidenced by its ISO certifications including ISO 9001:2015 and 45001:2018.

How to Apply for Annu Projects IPO?

To apply for this IPO:

• Log in to your Kotak Neo Demat account: Log in to your Kotak Neo Demat account to access IPO investments. Next, select the current IPO section.
• Specify IPO details: Enter the number of lots and the price you wish to apply for.
• Enter UPI ID: After entering your UPI ID, click submit. This will place your bid with the exchange.
• Mandate Notification: Your UPI app will receive a mandate notification to block funds.
• Approve Request: Your funds will be blocked once you approve the mandate request on your UPI.