PKH Ventures IPO to open on June 30, close on July 4

IPO

PKH Ventures Ltd initial public offering will open for subscription on June 30 and close on July 4. The allotment will be on July 7, initiation of refunds will be on July 10 and listing on exchanges will be on July 12. The IPO consists of a fresh issue of upto 18.26 million shares and an offer for sale of upto 7.73 million shares by its promoter Pravin Kumar Agarwal. Currently, Pravin Kumar Agarwal holds 63.69 percent stake in the firm.

The proceeds from the fresh issue worth Rs 124.12 crore will be used to invest in its arm Halaipani Hydro Project for development of hydro power projects. The firm will also use Rs 80 crore for investment in its arm Garuda Construction for funding long term working capital requirements. The firm said it will also use Rs 40 crore out of the fresh issue to pursue inorganic growth via acquisition and other strategic initiatives.

IDBI Capital is the sole book running manager to the issue.

The company based in Mumbai operates in three distinct business verticals, namely construction and development, hospitality, and management services. It specialises in executing civil construction works for third-party developer projects.

Additionally, the company has successfully secured two government projects, namely the Hydro Power Project in Nagpur and the Nagpur Project. Furthermore, the company's subsidiaries are currently undertaking three government hotel development projects, namely the Rajnagar Garhi Project, the Pahadikhurd Project, and the Tara Resort Project.

The financials

For fiscal year 2022, the company reported a revenue of Rs 199.35 crore compared to Rs 241.51 crore it posted a year ago. Net profit for the period stood at Rs 40.52 crore against Rs 30.57 crore last year. For nine months ended December 2022, the firm made a profit of Rs 28.63 crore while revenue stood at Rs 125.46 crore.

As of December 2022, net debt of the company stood at Rs 241.03 crore.