Vision Infra Equipment Solutions
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 06 Sep 2024 – 10 Sep 2024
- Listing date
- 13 Sep 2024
- Face value
- ₹10 per share
- Issue price
- ₹163 per share
- Lot size
- 800 shares
- Issue type
- Book Building issue
- Listing at
- NSE
- Total issue size
- ₹106 Cr
- Market cap at offer price
- ₹388 Cr
- Promoter holding
- 95.44% → 70.20% pre-issue → post-issue
- ISIN
- INE0TR001017
- Registrar
- MUFG Intime India Pvt.Ltd.
- Lead managers
- Hem Securities Ltd.
- Registered office
- Shop No 401-405, Bhawani, International BusinessBay, Bhavani Peth, Pune, Maharashtra
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 | 18,53,600 | — | — |
| Market maker | 3,36,000 | — | — |
Application size
Minimum 800 shares per lot, in multiples, at ₹163
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 800 | ₹1,30,400 |
| S-HNI (min) | 2 | 1,600 | ₹2,60,800 |
| S-HNI (max) | 7 | 5,600 | ₹9,12,800 |
| B-HNI (min) | 8 | 6,400 | ₹10,43,200 |
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 (₹) | 5.31 | 9.73 |
| P/E (×) | 30.70 | 16.75 |
| Price to book (×) | 12.02 | — |
| Market cap | — | ₹388 Cr |
Key performance indicators
- Return on net worth
- 113.75%
- ROCE
- 28.29%
- Debt / equity
- 11.26
- PAT margin
- 8.02%
- NAV per share
- ₹13.56
- Price to book
- 12.02
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Vision Infra Equipment Solutions
Vision Infra Equipment Solutions Limited was originally formed as a partnership firm 'M/s Vision Infra' on October 28, 2015 in Pune and converted to a Public Limited Company on January 12, 2024. The company operates as a solution provider in the equipment space, delivering services through two primary business segments: (1) renting of road construction equipment based on time-based or output-based pricing models, and (2) trading and refurbishment of road construction equipment. The company's portfolio includes equipment such as Soil stabilisers, Tandem Rollers, Soil Compactors, Cement Spreaders, Excavators, Transit Mixer, Milling Machine, Jaw Crusher, Concrete Paver, Asphalt Paver, Wheel Loaders, Rock Breakers, Graders, and Diesel Generators. The company generates revenue from equipment rental in diverse sectors including road construction, airports, smart cities, irrigation projects, building and factories, mining, and railways.
Company Analysis
from RHPVision Infra Equipment Solutions Limited is a solution provider delivering road construction equipment rental and trading/refurbishment services across airports, smart cities, irrigation, building & factories, mining, and railways.
Vision Infra Equipment Solutions Limited was originally formed as a partnership firm 'M/s Vision Infra' on October 28, 2015 in Pune and converted to a Public Limited Company on January 12, 2024. The company operates as a solution provider in the equipment space, delivering services through two primary business segments: (1) renting of road construction equipment based on time-based or output-based pricing models, and (2) trading and refurbishment of road construction equipment. The company's portfolio includes equipment such as Soil stabilisers, Tandem Rollers, Soil Compactors, Cement Spreaders, Excavators, Transit Mixer, Milling Machine, Jaw Crusher, Concrete Paver, Asphalt Paver, Wheel Loaders, Rock Breakers, Graders, and Diesel Generators. The company generates revenue from equipment rental in diverse sectors including road construction, airports, smart cities, irrigation projects, building and factories, mining, and railways.
Objects of the Issue
- Funding Capital Expenditure towards purchase of additional equipment ₹4,681.15 lakhs p.24
- Funding to meet working capital requirements ₹3,650.00 lakhs p.24
- General Corporate Purpose p.24
- Funding Capital Expenditure towards purchase of additional equipment ₹4,681.15 Lakhs p.79
- Funding to meet working capital requirements ₹3,650.00 Lakhs p.79
- General Corporate Purpose p.82
- Not specified in this part of the document
Issue Structure
- Total Issue
- ₹[●] Lakhs (up to 65,16,000 Equity Shares aggregating up to ₹[●] Lakhs after Pre-IPO placement reduction)
- Fresh Issue
- 65,16,000 Equity Shares aggregating to ₹[●] Lakhs (reduced to 56,89,600 Equity Shares after Pre-IPO Placement of 8,26,400 shares)
- Offer for Sale
- Nil
- Price Band
- Floor Price ₹[●] and Cap Price ₹[●] (to be decided and advertised)
- Lot Size
- [●] equity shares and in multiples of [●] equity shares
- Face Value
- ₹10 per Equity Share
Business Model
The company earns revenue through two primary channels: (1) renting of road construction equipment on time-based or output-based pricing models, generating ₹16,857.33 lakhs (50.66% of revenue) in FY 2024, and (2) trading and refurbishment of road construction equipment, generating ₹16,417.25 lakhs (49.34% of revenue) in FY 2024. The company also generates income from profit on sale of fixed assets (₹1,541.59 lakhs in FY 2024) as part of its equipment lifecycle management strategy where equipment is acquired, utilized for two to three years, then disposed of or replaced.
Business Segments
SWOT Analysis
- • Revenue diversification across rental and trading/refurbishment(p.24)
- • Established operations with 8+ years presence in construction equipment space(p.45)
- • Significant fixed asset base supporting operations(p.36)
- • Strong growth in profitability(p.25)
- • Large and young fleet of road construction equipment(p.86)
- • Vertical integration offering efficiency and cost control(p.79)
- • Young fleet composition with 49% less than three years old(p.80)
- • Established track record and in-house execution team(p.86)
- • Wide domestic market presence with vast customer base(p.86)
- • Strong revenue growth trajectory(p.82)
- • Large and diverse fleet of road construction equipment from major OEMs(p.100)
- • Experienced promoters with deep industry expertise(p.103)
- • Strong revenue growth with expanding EBITDA margins(p.103)
- • Consistent growth in Order Book and service expansion(p.103)
- • Expanded customer base and high client retention(p.100)
- • High Return on Net Worth demonstrating capital efficiency(p.101)
- • Diversified fleet of major OEM equipment(p.223)
- • Significant customer base expansion(p.223)
- • Strong EBITDA margin improvement(p.224)
- • High return on net worth(p.224)
- • Substantial PAT growth(p.229)
- • High concentration of revenue from top 10 customers(p.36)
- • Capital intensity and high dependence on external financing(p.36)
- • Significant indebtedness with exposure to interest rate risk(p.45)
- • Outstanding pending charge registration with 12 lenders representing substantial debt(p.45)
- • High dependence on group company revenues(p.48)
- • Significant reliance on contract labour with associated operational risks(p.46)
- • High dependence on customer concentration in road construction sector(p.53)
- • Significant debt burden with long-term borrowings(p.58)
- • High finance costs impacting profitability(p.59)
- • Promoters have provided personal guarantees for company debt(p.51)
- • Insurance coverage may be inadequate for all potential losses(p.50)
- • Heavy concentration of revenue in Maharashtra state(p.103)
- • Significant portion of fleet is aged beyond 3 years(p.101)
- • Outsourcing of refurbishment activities rather than in-house capability(p.100)
- • Declining revenue in FY 2023-24 from prior year(p.101)
- • High concentration of shareholding with promoters(p.132)
- • High dependence on top customers(p.232)
- • Significant financial leverage(p.234)
- • Outstanding litigation from director involvement(p.235)
- • Material creditor concentration(p.239)
- • Tax proceedings against promoters(p.238)
- • Large government investment in road infrastructure(p.24)
- • Strategic asset monetization by NHAI through infrastructure trusts(p.24)
- • Ambitious highway construction expansion(p.24)
- • Critical role of roads in India's infrastructure and transportation(p.24)
- • Growth in rental revenue segment(p.37)
- • Government infrastructure investment and road expansion plans(p.92)
- • Strong growth in road construction equipment sales(p.93)
- • Expansion of national highway network creating demand(p.93)
- • Strategic capacity expansion to capture growing market demand(p.80)
- • GST rate reduction improving equipment affordability(p.93)
- • Expansion of geographical footprint into new states and export markets(p.103)
- • Massive government investment in infrastructure development(p.96)
- • Accelerating road construction pace and highway expansion(p.97)
- • Rising FDI in construction and infrastructure development sector(p.96)
- • Growing demand for affordable housing and urban infrastructure(p.96)
- • Focus on modernization through technology and new infrastructure initiatives(p.96)
- • Growing infrastructure and road construction sector(p.223)
- • Expansion through dual pricing models(p.223)
- • Strategy to enhance rental service revenue(p.228)
- • Group company expansion into equipment trading(p.245)
- • Sensitivity of construction equipment demand to economic cycles(p.36)
- • Rising electric vehicle adoption reducing demand for traditional equipment(p.36)
- • Vulnerability to fuel price fluctuations(p.43)
- • Seasonal fluctuations affecting revenue(p.40)
- • Raw material cost volatility(p.43)
- • Intense competition from larger and better-resourced competitors(p.47)
- • Regulatory compliance risks and stringent emission standards(p.39)
- • Exposure to customer payment delays and defaults(p.36)
- • Geographic concentration risk with 65.67% revenue from top 10 states(p.41)
- • Global economic slowdown and financial instability(p.91)
- • External dependency on global economic conditions affecting Indian market(p.52)
- • Geopolitical conflicts impacting global commodity prices and stability(p.52)
- • Fluctuations in metal prices and supply chain disruptions(p.53)
- • COVID-19 pandemic economic uncertainty and disruption risk(p.53)
- • Changes in Indian tax laws affecting profitability(p.54)
- • Labor law changes reducing operational flexibility(p.53)
- • Highly competitive industry with numerous large and small service providers(p.109)
- • Price often the deciding factor in competition affecting margins(p.109)
- • Dependence on large infrastructure companies as primary clients(p.100)
- • Cyclicality and regulatory changes in infrastructure sector(p.109)
- • Need for continuous fleet upgradation and technology investment(p.104)
- • Seasonal business fluctuations from monsoon(p.232)
- • Rising interest and financing costs(p.227)
- • Declining trading and refurbishment revenue(p.228)
- • Freight and logistics cost escalation(p.229)
- • GST compliance and write-off exposure(p.229)
- • Regulatory and GST audit risk(p.237)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Sachin Vinod Gandhi | Promoter | 31.50% | 23.17% |
| Chetan Vinod Gandhi | Promoter | 31.50% | 23.17% |
| Sameer Sanjay Gandhi | Promoter | 31.50% | 23.17% |
| Sanjay Sobhachand Gandhi | Promoter Group | 0.24% | 0.18% |
| Vinod Sobhachand Gandhi | Promoter Group | 0.24% | 0.18% |
| Chetna Sachine Gandhi | Promoter Group | 0.24% | 0.18% |
| Pranjali Chetan Gandhi | Promoter Group | 0.23% | — |
| Sachin Vinod Gandhi | Promoter | 31.50% | 23.17% |
| Chetan Vinod Gandhi | Promoter | 31.50% | 23.17% |
| Sameer Sanjay Gandhi | Promoter | 31.50% | 23.17% |
| Sanjay Sobhachand Gandhi | Promoter Group | 0.24% | 0.18% |
| Vinod Sobhachand Gandhi | Promoter Group | 0.24% | 0.18% |
| Chetna Sachine Gandhi | Promoter Group | 0.24% | 0.18% |
| Pranjali Chetan Gandhi | Promoter Group | 0.24% | 0.18% |
| Sachin Vinod Gandhi | Promoter | 31.50% | — |
| Chetan Vinod Gandhi | Promoter | 31.50% | — |
| Sameer Sanjay Gandhi | Promoter | 31.50% | — |
| Sachin Vinod Gandhi | Promoter | 33.00% | — |
| Chetan Vinod Gandhi | Promoter | 33.00% | — |
| Sameer Sanjay Gandhi | Promoter | 33.00% | — |
| Sachin Vinod Gandhi | Promoter | — | — |
| Chetan Vinod Gandhi | Promoter | — | — |
| Sameer Sanjay Gandhi | Promoter | — | — |
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.