Active Infrastructures Ltd, a civil construction company, has officially made its debut on the NSE SME platform today, March 28, 2025, with shares listing flat at ₹181 per share. This listing follows the completion of the company's initial public offering (IPO), which saw a total mobilization of ₹77.83 crore. The IPO was open for subscription from March 21 to March 25, 2025, and had garnered attention from investors, although retail interest was relatively lukewarm.
On its first day of trading, Active Infrastructures' shares opened at the issue price of ₹181 and experienced a slight increase of 0.22%, reaching an intraday high of ₹181.4. A total of more than 3.53 lakh equity shares were exchanged, resulting in a turnover of ₹6.39 crore. The company's market valuation at this listing price stands at ₹272.37 crore.
Despite the flat debut, the IPO was oversubscribed by 1.05 times, largely driven by demand from qualified institutional buyers (QIBs). The non-institutional investors (NIIs) segment saw a higher subscription rate, booked at 1.66 times, with bids for 29.26 lakh shares against a quota of 16.33 lakh shares. However, the retail portion was undersubscribed, receiving bids for only 11.73 lakh shares against a quota of 20.42 lakh shares, resulting in a subscription rate of 57%.
The IPO comprised an entirely fresh issue of 4.30 million equity shares, with a price band set between ₹178 and ₹181 per share. The lot size was fixed at 600 shares, requiring a minimum investment of ₹1,08,600. Prior to the public offering, the company raised ₹4.43 crore from anchor investors, allotting 2,44,800 equity shares at the price of ₹181 per share.
Active Infrastructures, incorporated in 2007, specializes in infrastructure development and commercial project construction across India. The company is involved in various projects, including road construction, bridges, water supply systems, and commercial spaces, operating in several states such as Maharashtra, Madhya Pradesh, Uttar Pradesh, and Tripura.
Financially, Active Infrastructures reported a revenue of ₹33.9 crore for the six-month period from April to September in FY25. The company's profit after tax (PAT) for this period stood at ₹5.55 crore. In the fiscal year 2023-24, Active Infrastructures achieved a revenue of ₹97.43 crore, up from ₹89.59 crore in FY 2022-23. However, the net profit saw a slight increase to ₹10.45 crore from ₹9.87 crore in FY23.
Looking ahead, the proceeds from the IPO are earmarked for various purposes including working capital requirements, repayment of debt, capital expenditure for construction equipment, general corporate purposes, and to meet issue expenses. The company aims to utilize these funds to bolster its operations and expand its project portfolio.
As Active Infrastructures embarks on this new chapter as a publicly traded entity, market analysts will be closely watching its performance and growth trajectory in the competitive civil construction sector. The company’s focus on infrastructure development positions it well to benefit from the ongoing demand for construction and development projects across India.
While the debut may not have been as dynamic as some investors had hoped, the fundamentals of Active Infrastructures appear solid, suggesting potential for growth in the future. Investors and market watchers alike will be keen to see how the company leverages its IPO proceeds to enhance its operations and achieve its strategic goals.
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