State-run Wapcos files draft papers for IPO

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State-run Wapcos Ltd has filed draft papers for an initial public offering with the capital market regulator.

The IPO is an offer for sale of up to 32.50 million shares by the president of India who holds 100 percent  of the firm.

IDBI Capital and SMC Capitals are the lead managers to the issue.

Wapcos is a central public sector enterprise under the administrative control of the ministry of Jal Shakti.

It engages in engineering consultancy and construction in the fields of water, power and infrastructure for businesses and communities in India and overseas. The firm has provided engineering consultancy services to various clients in over 50 countries in the last five decades.

Currently the company has projects going on in 30 countries which include Bangladesh, Bhutan, Burundi, Botswana, Cambodia, Cuba, Central African Republic, DR Congo, Eswatini, Ethiopia, and Fiji Islands.

As of March, consolidated order book position for engineering consultancy services stood at Rs 2,533.94 crore and Rs 18,497.83 crore for construction contracts. The firm has a strong credit profile that includes outstanding fund-based limits of Rs 250 crore and non-fund based standby limits of Rs 1,356 crore as on August 30. Total outstanding borrowings are Rs 722.10 crore.

For fiscal year 2022, the firm reported revenue of Rs 2,797.99 crore versus Rs 2,512.87 crore a year ago. Net profit for the period stood at Rs 68.77 crore versus Rs 60.15 crore last year.