Desco Infratech Ltd

Desco Infratech Ltd IPO

IPO Price Range: ₹147 - 150

Our Company is mainly engaged in providing infrastructure and maintenance services to city gas distribution divisions in India. We engage in activities such as pipeline laying, installation, testing, erection and commissioning for Piped Natural Gas (PNG) utilized by both domestic and commercial users and in its operation and maintenance services. Our Company has recently begun offering services in the power distribution projects relating to connectivity, commissioning, and erection of Low Tension (LT) and High Tension (HT) cables, in water distribution projects by offering by designing and constructing water distribution networks, open wells, sump wells, overhead tanks, and well systems and in the renewable energy sector by providing erection of reinforced concrete (RCC) piles for foundational and structural support, along with the installation of structures and solar modules for energy capture.

Min Investment

₹1,50,000

IPO Size

₹30 Cr

IPO Status

Closed

Quantity in 1 Lot

1000

Max Bid allowed

1

Listing Exchange

BSE

IPO Application Timeline of Desco Infratech Ltd

passed
Open Date24 Mar 2025
passed
Close Date26 Mar 2025
passed
Allotment Date27 Mar 2025
passed
Listing Date1 Apr 2025

IPO subscribed over

🚀 55.86x

This IPO has been subscribed by 50.6239x in retail and 28.7565x in QIB.

Subscription Rate

Total Subscription55.86x
Retail Individual Investors50.6239x
Qualified Institutional Buyers28.7565x
Non Institutional Investors233.6225x

Key Statistics

Bid Opening DateBid Opening Date24 Mar 2025
Bid Closing DateBid Closing Date26 Mar 2025
Allotment DateAllotment Date27 Mar 2025
Issue SizeIssue Size₹30.75Cr
Quantity in 1 lotQuantity in 1 lot1000

Strengths and Risks of Desco Infratech Ltd IPO

Strengths

Strengths

  • Its expertise in city gas distribution sector and providing operations and maintenance services.

  • Direct Relationship with Suppliers.

  • Experienced promoters and management team.

  • Standard Operating Procedures.

  • Adherence to Safety and Compliance Standards.


Risks

Risks

  • The company has certain outstanding litigation against it, an adverse outcome of which may adversely affect the company business, reputation and results of operations.

  • If the company fails to qualify for, or win new work orders from its clients, the company business, financial condition, results of operations, prospects and cash flows could be adversely affected.

  • The company is highly dependent on certain key customers for a substantial portion of its revenues. Loss of relationship with any of these customers may have a material adverse effect on its profitability and results of operations.

  • Its revenues from projects are difficult to predict and are subject to seasonal variations.

  • The Company had negative cash flows in the past years, details of which are given below. Sustained negative cash flow could impact its growth and business.

  • The company generate its major portion of sales from its operations in certain geographical regions especially, Gujarat, Haryana, Uttar Pradesh and Punjab. Any adverse developments affecting its operations in these regions could have an adverse impact on the company revenue and results of operations.

  • The Company has entered into related party transactions in the past and may continue to enter into related party transactions in the future, which may potentially involve conflicts of interest with the equity shareholders.

  • The Company is yet to place orders for 100% of the purchase of machineries, as specified in the Objects of the Issue. Any delay in placing orders, procurement of the same may delay its implementation schedule and may also lead to increase in price of these machineries, further affecting its revenue and profitability.

  • There are certain discrepancies and non-compliances noticed in some of its financial reporting and/or records relating to filing of returns and deposit of statutory dues with the taxation and other statutory authorities.

  • Majority of its Revenue from operation is derived from the company city gas distribution network projects and Operations and maintenance services. Any disruption in the continuous operations of its services would have a material adverse effect on the company business, results of operations and financial.

Promoters Holding

Investors Holdings %
Indiraben Pruthubhai Desai42.35%
Pankaj Pruthu Desai0%
Hina Pankaj Desai15.3%
Malhar P Desai10.82%
Samarth Pankaj Desai10.82%

Frequently Asked Questions of Desco Infratech Ltd IPO

  • What is the size of the Desco Infratech Ltd IPO?

    The size of the Desco Infratech Ltd IPO is ₹30.75Cr .

  • What is 'pre-apply' for Desco Infratech Ltd IPO?

    'Pre-apply' for Desco Infratech Ltd IPO indicates your interest in the IPO before it opens for subscription. This ensures quick application when the IPO goes live.

  • When will my Desco Infratech Ltd IPO order be placed?

    Your Desco Infratech Ltd IPO order will be placed on 24 Mar 2025.

  • What are the open and close dates of the Desco Infratech Ltd IPO?

    The open and close dates of the Desco Infratech Ltd IPO are 24 Mar 2025 to 26 Mar 2025.

  • What is the lot size and minimum order quantity of the Desco Infratech Ltd IPO?

    The lot size and minimum order quantity of the Desco Infratech Ltd IPO are 1000 and 1000 respectively.

  • What would be the listing gains on the Desco Infratech Ltd IPO?

    The potential listing gains on the Desco Infratech Ltd IPO will depend on various market factors and cannot be predicted with certainty.