Lakshya Powertech
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 16 Oct 2024 – 18 Oct 2024
- Listing date
- 23 Oct 2024
- Face value
- ₹10 per share
- Issue price
- ₹180 per share
- Lot size
- 800 shares
- Issue type
- Book Building issue
- Listing at
- NSE
- Total issue size
- ₹49.80 Cr
- Market cap at offer price
- ₹182 Cr
- Promoter holding
- 95.48% → 69.22% pre-issue → post-issue
- ISIN
- INE0VZS01015
- Registrar
- Kfin Technologies Ltd.
- Lead managers
- GYR Capital Advisors Pvt.Ltd.
- Registered office
- A-620 & 621 Siddhivinayak Tower-A, B/H DCP Office, Off.S.G.Highway, Makarba, Jivraj Park, Gujarat
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 7,44,000 | — | — |
| Market maker | 1,48,000 | — | — |
Application size
Minimum 800 shares per lot, in multiples, at ₹180
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 800 | ₹1,44,000 |
| S-HNI (min) | 2 | 1,600 | ₹2,88,000 |
| S-HNI (max) | 6 | 4,800 | ₹8,64,000 |
| B-HNI (min) | 7 | 5,600 | ₹10,08,000 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Valuation and performance
Valuation at offer price
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 21.44 | 14.21 |
| P/E (×) | 8.40 | 12.67 |
| Price to book (×) | 3.49 | — |
| Market cap | — | ₹182 Cr |
Key performance indicators
- Return on net worth
- 15.84%
- ROCE
- 13.41%
- Debt / equity
- 0.83
- PAT margin
- 10.33%
- NAV per share
- ₹51.58
- Price to book
- 3.49
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Lakshya Powertech
Lakshya Powertech Limited, established in 2012, began as an Engineering Consultancy and Contracting Company focused on mechanical and electrical services in power generation. The company has evolved into a diversified entity offering services across four key sectors: Oil and Gas, Power, Renewable Energy, and Industrial. Its operations span Engineering, Procurement, Construction & Commissioning (EPCC), Integrated Operation & Maintenance (O&M) Services, and Special Services. The company has expanded globally, including an EPC contract in renewables in Malaysia, and maintains an order book of 138 projects valued at ₹26,843.17 lakhs as of August 31, 2024. The company generates revenue through project-based contracts awarded via competitive bidding by government authorities and private companies.
Company Analysis
from RHPLakshya Powertech Limited is an engineering, procurement, construction, commissioning, and operations & maintenance services company operating across oil & gas, power, renewable energy, and industrial sectors.
Lakshya Powertech Limited, established in 2012, began as an Engineering Consultancy and Contracting Company focused on mechanical and electrical services in power generation. The company has evolved into a diversified entity offering services across four key sectors: Oil and Gas, Power, Renewable Energy, and Industrial. Its operations span Engineering, Procurement, Construction & Commissioning (EPCC), Integrated Operation & Maintenance (O&M) Services, and Special Services. The company has expanded globally, including an EPC contract in renewables in Malaysia, and maintains an order book of 138 projects valued at ₹26,843.17 lakhs as of August 31, 2024. The company generates revenue through project-based contracts awarded via competitive bidding by government authorities and private companies.
Objects of the Issue
- Prepayment or repayment of all or a portion of certain outstanding borrowings availed by our company ₹450.00 lakhs p.23
- Funding of the working capital requirement of our Company ₹3,000.00 lakhs p.23
- General corporate purposes p.23
- Prepayment or repayment of all or a portion of certain outstanding borrowings availed by our Company Up to 450.00 Lakhs p.76
- Funding working capital requirements of our Company Up to 3000.00 Lakhs p.76
- General corporate purposes p.80
- Not specified in this part of the document
- Not specified in this document part
Issue Structure
- Total Issue
- Upto 27,72,800 equity shares of face value of ₹10 each aggregating up to ₹[●] lakhs
- Fresh Issue
- Upto 27,72,800 equity shares of face value of ₹10 each aggregating up to ₹[●] lakhs
- Offer for Sale
- Nil
- Price Band
- [●]
- Lot Size
- [●] Equity Shares and in multiples of [●] Equity Shares thereafter
- Face Value
- ₹10 per equity share
Business Model
Project-based contracting model where the company bids for work orders from government authorities and private companies. Revenue is generated through EPCC contracts, Integrated Operation & Maintenance services, and special services. The company executes projects across multiple states and internationally, with clients providing advance payments and retention amounts typically released after project completion or testing.
Business Segments
SWOT Analysis
- • Established engineering consultancy with diversified service offerings across four key sectors(p.22)
- • In-house design and engineering team ensuring self-reliance and quality compliance(p.29)
- • Comprehensive project lifecycle capabilities from design through operations(p.29)
- • Strong order book with 138 projects valued at Rs. 26,843.17 lakhs as of August 31, 2024(p.33)
- • Successful project execution track record without defaults on completion schedules(p.30)
- • Experienced Management and Efficient Operational Team(p.83)
- • Strong Financial Performance with High Return on Net Worth(p.85)
- • Improving Profitability Margins(p.86)
- • Strong Revenue Growth Trajectory(p.86)
- • Significant revenue growth trajectory(p.211)
- • Diversified service portfolio in energy sector(p.170)
- • Improving profitability margins(p.212)
- • Strong working capital management(p.203)
- • No material litigation against promoters(p.158)
- • Clean regulatory compliance history(p.159)
- • Heavy dependence on a small number of clients for majority of revenues(p.34)
- • Significant reliance on promoters as key decision-makers and operators(p.35)
- • High working capital intensity with vulnerability to payment delays and credit term changes(p.31)
- • High supplier concentration with top ten suppliers accounting for 86.91% of purchases(p.32)
- • Significant outstanding borrowings of Rs. 2,916.59 lakhs with restrictive covenants(p.33)
- • Non-owned office and workshop premises creating operational dependency and relocation risk(p.29)
- • Past non-compliance with statutory obligations including Companies Act and GST/EPF filings(p.33)
- • Negative cash flows from operations in recent years indicating liquidity stress(p.31)
- • Non-compliance with MSMED Act provisions for delayed payments to MSME vendors(p.36)
- • Directors lack prior experience with listed company governance and compliance(p.33)
- • High Financial Leverage and Debt Dependence(p.78)
- • Substantial Working Capital Requirements(p.78)
- • Delay in Raising Funds Could Adversely Impact Implementation(p.44)
- • Lack of Appraised Fund Requirement(p.76)
- • Restrictions on Fund Deployment and Limited Flexibility(p.44)
- • High dependence on director-provided loans(p.181)
- • Elevated debt-to-equity ratio indicating high leverage(p.212)
- • Significant working capital volatility(p.223)
- • Material discrepancies in quarterly bank reporting(p.200)
- • Accounting restatement issues including MSMED interest non-compliance(p.164)
- • Significant inventory concentration in work-in-progress(p.184)
- • Material creditor concentration risk(p.228)
- • Concentrated MSME supplier base(p.228)
- • Significant growth in renewable energy generation capacity with Government of India planning 500 GW by 2030(p.22)
- • Increasing share of renewable energy in power generation mix from 18% to 44% by 2029-30(p.22)
- • Growing power consumption in India with significant increase to 50.15 billion units in 2020(p.22)
- • Diverse service expansion into operations and maintenance and renewables beyond traditional EPCC(p.22)
- • Expansion into international markets with ongoing operations in Malaysia and potential for global reach(p.22)
- • India's Strong Economic Growth and Infrastructure Investment(p.98)
- • Growing Power and Energy Sector Demand(p.98)
- • Access to Capital Markets and Enhanced Brand Visibility(p.75)
- • Strategic Use of IPO Proceeds for Debt Reduction and Growth(p.76)
- • Expansion into renewable energy projects(p.211)
- • Government and public sector contract acquisition(p.211)
- • Market penetration in emerging Indian markets(p.211)
- • Growth in Operations and Maintenance services(p.211)
- • Operational efficiency and digital transformation(p.211)
- • Small and Medium Enterprise Platform listing(p.251)
- • Potential migration to Main Board with sustained growth(p.249)
- • Multiple expansion opportunity through market making(p.250)
- • Competitive bidding process with uncertain project awards and no assurance of qualification(p.29)
- • Volatility in raw material, fuel, and labour costs affecting project profitability(p.30)
- • Potential payment of liquidated damages for project delays with no default guarantee(p.30)
- • Exposure to labour-intensive operations with risk of strikes, work stoppages, and wage pressures(p.36)
- • Stringent and evolving regulatory compliance requirements across multiple jurisdictions and sectors(p.39)
- • Regulatory changes affecting project qualification criteria and tender process timelines(p.29)
- • Foreign exchange fluctuation risk from international operations and transactions(p.38)
- • Potential disruption from IT system failures and cybersecurity vulnerabilities(p.42)
- • Customer default risk with significant receivables and extended credit terms(p.38)
- • Natural Calamities and Force Majeure Events(p.45)
- • Indian Tax Regime Changes and Regulatory Uncertainty(p.45)
- • Dependence on Indian Economic Conditions(p.45)
- • Interest Rate Fluctuations and Borrowing Cost Risks(p.45)
- • Foreign Exchange and Capital Flow Restrictions(p.45)
- • Adverse Changes in Market Conditions Between Bid and Allotment(p.44)
- • Significant dependence on few large customers for revenue(p.225)
- • Intense competitive pressures in EPC and services sector(p.225)
- • Exposure to GST compliance risks and demands(p.227)
- • Volatility in direct and indirect tax litigation(p.226)
- • Outstanding dispute with contractor impacting operations(p.226)
- • Material outstanding dispute with previous contractor(p.226)
- • Economic cyclicality and project-dependent revenues(p.212)
- • Regulatory dependency on SEBI approvals(p.235)
- • Stock exchange discretionary listing and trading permissions required(p.237)
- • Minimum subscription threshold risk(p.276)
- • Foreign exchange and repatriation risks for non-resident investors(p.265)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Rajesh Anne | Promoter | 42.88% | — |
| Mrs. Priya Bandhavi Anne | Promoter | 52.56% | — |
| Mr. Gopala Rao Anne | Promoter Group | 0.03% | — |
| Rajesh Anne | Promoter | 42.88% | — |
| Priya Bandhavi Anne | Promoter | 52.56% | — |
| Gopala Rao Anne | Promoter Group | 0.03% | — |
| Rajesh Anne | Promoter | 42.88% | — |
| Priya Bandhavi Anne | Promoter | 52.56% | — |
| Rajesh Anne | Promoter | 42.88% | — |
| Priya Bandhavi Anne | Promoter | 52.56% | — |
Leadership
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.