Denta Water IPO opens for subscription on January 22, 2025, and closes on January 24, 2025. Denta Water and Infra Solutions Limited, incorporated in 2016, is a growing water and infrastructure solutions company specialising in designing, installing, and commissioning water management infrastructure projects. With a strong focus on sustainable development, the company has established expertise in groundwater recharge projects, contributing significantly to water conservation and resource management in India. In this blog, we will delve into all the details of the Denta Water IPO, including financial performance, peer comparison, and the key risks associated with the company’s operations.
Denta Water IPO Important Dates
The key pointers for the Denta Water IPO important dates are:
- Bidding Opening Date: January 22, 2025
- Bidding Closing Date: January 24, 2025
- Basis of Allotment Date: January 27, 2025
- Initiation of Refunds (in case of less or no allotment): January 28, 2025
- Shares Credited to Your Demat Account: January 28, 2025
- IPO Listing Date: January 29, 2025
- Listing on Exchange: NSE and BSE
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Denta Water and Infra Solutions Limited IPO Issue Size
Denta Water IPO valuation is set at around ₹220 crores with just the fresh issue component of 75 lakh shares.
Here are the important Denta Water IPO details:
- Price Band: ₹279 to ₹294 per share
- Face Value: ₹10 per share
- Denta Water IPO Lot Size: 50 Shares
- Issue Size and Amount: 75,00,000 shares (totalling up to ₹220.50 Cr)
- Fresh Issue Size and Amount: 75,00,000 shares (totalling up to ₹ 220.50 Cr)
Denta Water IPO Proceeds Usage
Denta Water and Infra Solutions Limited IPO proceeds will be used for the following purposes:
- The funds will be used to manage day-to-day operational needs, including procuring materials, hiring manpower, and ensuring seamless project execution.
- A portion of the funds will address administrative costs, marketing efforts, and other operational activities to support the company’s growth and efficiency.
Denta Water IPO Reservations
Denta Water IPO reservations to different investors are:
- For QIB: Not more than 50% of the Net Issue
- For Retail: Not less than 35% of the Net Issue
- For NII (HNI): Not less than 15% of the Net Issue
Denta Water IPO Lot Size
Denta Water IPO lot size is 50 shares, wherein bidding can be done in further multiples. The minimum and maximum of the lot size that each category of investor can apply in this IPO are:
Application | Lots | Shares | Amount (₹) |
---|---|---|---|
Retail (Min) | 1 | 50 | ₹14,700 |
Retail (Max) | 13 | 650 | ₹1,91,100 |
S-HNI (Min) | 14 | 700 | ₹2,05,800 |
S-HNI (Max) | 68 | 3,400 | ₹9,99,600 |
B-HNI (Min) | 69 | 3,450 | ₹10,14,300 |
Denta Water IPO Details: Promoter Holding
The current promoters of Denta Water and Infra Solutions Limited are:
- Sowbhagyamma
- Sujith TR
- C Mruthyunjaya Swamy
- Hema HM
Denta Water IPO: Company Overview
Denta Water and Infra Solutions Limited, incorporated in 2016, is a growing water and infrastructure company. It specialises in designing, installing, and managing water management projects, especially groundwater recharge projects.
Denta has experience executing major wastewater treatment and groundwater recharge projects in Bengaluru, helping address water shortages. It also owns land used for commercial agriculture and a beach resort that generates revenue.
Denta’s services cover planning, surveys, design, construction, operations, and maintenance of water infrastructure like pipelines, treatment plants, dams, and irrigation systems. As of November 2024, Denta has executed 32 projects as the main contractor, in a joint venture, or as a subcontractor. It also undertakes railway and highway construction.
Denta has established expertise in water management, an experienced management team, a strong order pipeline, a track record of timely project execution, and an efficient business model. As of November 2024, it had 89 permanent employees. Denta is well-positioned to grow its water and infrastructure solutions business.
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Denta Water and Infra Solutions Limited IPO: Financial Performance
Denta Water and Infra Solutions Limited key financials for different periods are as follows:
Particulars | 30 Sep 2024 | 31 Mar 2024 | 31 Mar 2023 | YoY Change (FY24 – FY23) |
---|---|---|---|---|
Assets | 220.35 | 219.85 | 123.28 | 78.33% |
Revenue | 98.51 | 241.84 | 175.75 | 37.60% |
Profit After Tax | 24.2 | 59.73 | 50.11 | 19.20% |
Net Worth | 188.46 | 164.26 | 104.55 | 57.11% |
Reserves and Surplus | 169.26 | 145.06 | 99.74 | 45.44% |
Total Borrowing | 0.71 | 0.86 | 1.15 | -25.22% |
(Amount in ₹ Crore)
Peer Analysis of Denta Water IPO
The comparison of Denta Water and Infra Solutions Limited performance with its peers in the same industry is as follows:
Company Name | EPS (Basic) | EPS (Diluted) | NAV (per share) (Rs) | RoNW (%) | P/BV Ratio | PAT Margin | ROE (%) |
---|---|---|---|---|---|---|---|
Denta Water and Infra Solutions Limited | 31.11 | 31.11 | 85.55 | 36.36% | 3.46 | 25.03% | 36.36% |
Va Tech Wabag Limited | 39.49 | 39.49 | 292.43 | 13.77% | 5.19 | 8.77% | 14.76% |
EMS Limited | 29.38 | 29.38 | 143.73 | 19.13% | 5.64 | 19.24% | 23.69% |
*(For FY24 ending)
Risk Factors in Denta Water and Infra Solutions Limited IPO
The company is exposed to various risk factors which can eventually affect the business and investor’s perception:
- Denta Water relies heavily on projects from the Government of Karnataka, which accounted for 83.98% of revenue in the latest financial year. Loss of government contracts could significantly impact financial performance.
- Delays in completing current and future projects due to execution challenges, regulatory issues, or other factors could increase costs and harm Denta’s reputation and profitability.
- Denta’s business depends on winning new infrastructure contracts through competitive bidding processes. Failure to consistently win new contracts over time could negatively impact growth and earnings.
- Denta Water has a concentrated supplier base for raw materials like pipes and valves. The loss of key suppliers could disrupt operations and delay project timelines.
- As some of Denta’s projects are undertaken on a sub-contracting basis, failure to meet conditions specified by the main contractor could result in penalties or early termination of contracts, affecting cash flows and earnings.
Denta Water IPO Details: Contact Information
For inquiries related to this upcoming ipo, you can contact at the following places:
Registered Office Address: Denta Water and Infra Solutions Limited
40, 3rd floor, Sri Lakshminarayana Mansion, South End Road, Basavanagudi, South Bangalore 560 004, Karnataka
Phone: +91-080-42106509
Email: cs@denta.co.in
Website: http://www.denta.co.in/
Denta Water IPO Registrar Details:
Integrated Registry Management Services Private Limited
Phone: 080–23460815
Email: giri@integratedindia.in
For all the insights on Denta Water IPO and detailed expert advice, you can download the SMC ACE App or visit the SMC telegram channels. Take smart decisions and apply for this IPO easily on the SMC ACE App by opening demat account now.
Frequently Asked Questions – FAQs
1. When will Denta Water IPO will open?
The Denta Water IPO will open on January 22, 2025, and close on January 24, 2025.
2. What is the price range of Denta Water and Infra Solutions Ltd. IPO?
The price band of Denta Water and Infra Solutions Limited is ₹279 to ₹294 per share.
3. When is the Denta Water IPO allotment?
The allotted shares will be credited to your demat account by Tuesday, January 28, 2025, following the completion of the Basis of Allotment for the Denta Water IPO on Monday, January 27, 2025.
Reference:
https://www.sebi.gov.in/filings/public-issues/jan-2025/denta-water-and-infra-solutions-limited-rhp_90910.html
Author: All Content is verified by SMC Global Securities.
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