Ahmedabad-based LCC Projects has filed preliminary papers with the capital markets regulator Sebi to mobilise funds through an initial public offering.
The initial public offering (IPO) is a mix of fresh issue of equity shares worth ₹320 crore and an offer-for-sale (OFS) component of up to 2.29 crore equity shares or 8.43 per cent stake by the promoters, as per the draft red herring prospectus (DRHP).
Going by the draft papers filed on Friday, Arjan Suja Rabari and Laljibhai Arjanbhai Ahir will be selling up to 1.14 crore equity shares each through the OFS.
The company may raise ₹64 crore through pre-IPO placement. If the placement is completed then the size of the fresh issue will be reduced.
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The net proceeds from the fresh issue worth ₹220 crore will be used by the company to repay debt, ₹14.91 crore will be used for purchase of equipment and balance for general corporate purposes.
LCC Projects is a multidisciplinary engineering, procurement and construction (EPC) company. The company has executed a wide range of projects in the irrigation and water supply segment such as construction of dams, barrages, hydraulic structures, canals and lift irrigation works, etc, in over two decades.
As of September last year, it has an order book of ₹7,347.42 crore.
For the six months ended September 2024, the company reported revenue from operations at ₹1,468 crore and profit after tax (PAT) of ₹117.94 crore. For FY24, it reported revenue from operations at ₹2,438.91 crore while PAT stood at ₹122 crore.
The equity shares of the company are proposed to be listed on the NSE and BSE. Motilal Oswal Investment Advisors is the sole book running lead manager while KFin Technologies is the registrar to the issue.