IPO Details
RHP/DRHPIssue Date
--
Investment/lot
₹ 14700
Price Range
279 - 294
Lot Size
50
IPO Size
₹ 220.50 Cr
IPO Listing Details
Listing On
29 Jan'25
Issue Price
294
Listed Price
₹ 325
Retail Gain/Listing Gain
▲10.54%
Schedule of Denta Water And Infra Solutions IPO
Start date
End date
Allotment of bids
Refund Initiation
Listing on exchange
29/01/2025
About Denta Water and Infra Solutions IPO
Denta Water and Infra Solutions IPO is an IPO of ₹220.50 crores. The IPO consists of a fresh issue of 75,00,000 equity shares. It does not have an offer for sale. Shares will be allotted on Jan 27, 2025. The shares will be credited to the demat account on Jan 28, 2025 and refunds will be initiated on Jan 28, 2025.
Objectives of Denta Water and Infra Solutions IPO
The company will utilize the net proceeds in the following ways
- To meet working capital requirements of the company
- General corporate purposes, subject to the applicable laws
Denta Water and Infra Solutions Limited IPO Valuation
| Detail | Information |
|---|---|
Upper Price Band | 294 |
Fresh Issue | 75,00,000 equity shares aggregating up to ₹220.50 crores |
Offer for Sale | NA |
EPS (in ₹) for FY 24 | 31.11 |
Denta Water and Infra Solutions Limited IPO Lot Size
| 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 and Infra Solutions Limited IPO Share Offer and Subscription Details
| Investor Category | Shares Offered |
|---|---|
QIBs | Not more than 50% of the net offer |
Non-institutional Investors | Not less than 35% of the net offer |
Retail Individual Investors | Not less than 15% of the net offer |
Industry Outlook
The Planning Commission, Government of India has estimated the water demand will increase from 710 BCM in 2010 to almost 1180 BCM in 2050 with domestic and industrial water consumption expected to increase almost 2.5 times. The India Water and Wastewater Treatment market is expected to grow at a CAGR of 6.20% in terms of value to reach USD 23,849.806 million in 2033 from USD 13,101.158 million in 2023. (Source: Marketysers Global Report).
Company Information
Established in 2016, Denta Water and Infra Solutions Limited, commonly known as ‘Denta Water,’ has emerged as a key player in water engineering, procurement, and construction (“EPC”) services. The company has experience in infrastructure project installations, including groundwater recharging through recycled water.
Strengths of Denta Water and Infra Solutions
Established Market Presence
Denta Water and Infra Solutions has established themselves as a water management solutions provider, particularly, in groundwater recharge projects (‘GWR projects’) and lift irrigation projects. As on November 30, 2024, the company has procured direct contracts (as consortium partner) worth ₹ 7,74 crores, direct contracts (independent) worth ₹ 46.997 crores and sub-contracts worth of ₹4,65.719 crores in GWR projects.
In-house expertise in designing and engineering of water management infrastructure projects
The company’s engineering expertise and core capability of the designing and implementation aspects of GWR projects has enabled them to deliver projects in accordance with the requirements envisaged by the principal employer of these projects. The company has diverse capabilities that enable them to offer tailor-made solutions for meeting exigencies due to extreme changes in project, design and installation.
Strong Order Book
As on November 30, 2024, the company has 17 ongoing projects being implemented either directly by the company or under consortium arrangements with other entities and Denta Water’s share in the aggregate contact value comprises of ₹11,00.436, out of which ₹10,66.752 crore is in relation to water management projects.
Risks of Denta Water and Infra Solutions
The revenue contribution from government clients has increased from 18.25% in FY 2023 to 63.40% as of FY 2024. The company currently relies substantially on government clients for their revenues. Any adverse change in the government’s demand for GWR projects will hurt our business.
One of the company’s promoters has legal cases pending against him. Any adverse outcome in the legal proceeding can hurt their business.
Contracts awarded by the Government of Karnataka ("GoK') may provide GoK with the right to terminate the contract for convenience, without any reason, which may impact their business.
Denta Water and Infra Solutions Limited Financials
Particulars (in Rs. crores)
Particulars (in Rs. crores)
Comparison with peers
| Parameter | VA Tech Wabag | EMS Limited |
|---|---|---|
Face Value Per Equity Share | 2 | 10 |
Revenue from Operations | 28,564 | 5381.61 |
EPS in ₹ for FY 24 | 39.49 | 29.38 |
Return on net worth for FY 24 | 13.77% | 19.13% |
Anchor Investor Bidding Date
The anchor investor bidding will take place on Jan 21, 2025.
IPO Registrar and Book Running Lead Managers
Integrated Corporate Solutions is the registrar of the Denta Water and Infra Solutions Limited IPO. The book running lead managers of this IPO is SMC Capitals Limited.
Business Model
The company earns its revenue through the following sources:
Procurement, water engineering and construction services Lift Irrigation Projects Construction projects for railways and highways
Company Growth Trajectory
Denta Water and Infra Solutions has an established track record of growth in revenue and profits. Between financial years 2022 and 2024, its revenue from operations grew from ₹1,19.572 crore to ₹238.598 crore, and its profit after tax grew from ₹38.337 crore to ₹59.75 crore.
Denta Water and Infrastructure Profit and Loss
| Parameter | FY 24 | FY 23 | FY 22 |
|---|---|---|---|
Total Income (in ₹ crore) | 241.837 | 175.747 | 119.635 |
Profit Before Tax (in ₹ crore) | 81.384 | 67.919 | 51.788 |
Profit After Tax (in ₹ crore) | 59.725 | 50.112 | 38.337 |
EBITDA in ₹ crore | 82.376 | 68.383 | 51.874 |
EPS in ₹ | 31.11 | 26.10 | 19.97 |
Denta Water and Infra Solutions Cash Flow Statement
| Parameter | FY 24 | FY 23 | FY 22 |
|---|---|---|---|
Profit Before Tax (in in ₹ crore) | 81.384 | 67.919 | 51.788 |
Net Cash Generated from Operating Activities (in ₹ crore) | 26.895 | 51.464 | (78.03) |
Net Cash Used in Investing Activities (in ₹ crore) | 5.60 | (295.54) | (44.55) |
Net Cash Used in Financing Activities (in ₹ crore) | (8.15) | 8.34 | (0.47) |
Cash and Cash Equivalents at the End of the Year (in ₹ crore) | 266.40 | 227.44 | (123.05) |
How to Check Allotment Status of Denta Water and Infra Solutions Limited IPO?
You can check the allotment status of shares either on the website of the Bombay Stock Exchange (BSE) or on the website of the registrar Integrated Registry Management Services Private Ltd. To check the status on the BSE website:
- Visit the BSE website
- Click on “Investor Services” and choose “Application Status Check”
- Choose the issue type — Equity or Debt
- Select the Issue Name from the drop-down, which is Denta Water and Infra Solutions Limited in this case
- Enter your application number or PAN number
- Check the box which says “I’m not a Robot” and click on “Search” to know the allotment status
To check status on the website of Denta Water and Infra Solutions Limited IPO :
- Visit the website of Link Intime Private Ltd
- Choose ‘Public Issues’ from Investor Services dropdown
- Choose the name of the company from ‘Select Company’ dropdown
- Enter any of these - PAN Number, Application Number, DP/Client ID, Account Number / IFSC
- Click on Submit to check the status
How To Apply for Denta Water & Infra Solutions Ltd IPO?
Here are the steps to apply for Denta Water & Infra Solutions Ltd IPO:
Step 1: Log in to your Kotak Securities Demat account Log in to your Demat account to access IPO investments. Next, select the current IPO section.
Step 2: Specify IPO details Enter the number of lots and the price you wish to apply for.
Step 3: Enter UPI ID After entering your UPI ID, click submit. This will place your bid with the exchange.
Step 4: Mandate Notification Your UPI app will receive a mandate notification to block funds.
Step 5: Approve Request Your funds will be blocked once you approve the mandate request on your UPI.
This article is for informational purposes only and does not constitute financial advice. It is not produced by the desk of the Kotak Securities Research Team, nor is it a report published by the Kotak Securities Research Team. The information presented is compiled from several secondary sources available on the internet and may change over time. Investors should conduct their own research and consult with financial professionals before making any investment decisions. The above images were generated using AI. Read the full disclaimer here.
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Investments in securities market are subject to market risks, read all the related documents carefully before investing. Brokerage will not exceed SEBI prescribed limit. The securities are quoted as an example and not as a recommendation. SEBI Registration No-INZ000200137 Member Id NSE-08081; BSE-673; MSE-1024, MCX-56285, NCDEX-1262.
Denta Water And Infra Solutions IPO FAQs
When is Denta Water And Infra Solutions IPO listing date?
Denta Water And Infra Solutions IPO will list on 2025-01-29.
What is the issue size of Denta Water And Infra Solutions IPO?
220.50 is the issue size of Denta Water And Infra Solutions IPO.
What is the minimum lot size required for Denta Water And Infra Solutions IPO?
The minimum lot size is 50 shares and the investment required is ₹14700.
What is the price band of the Denta Water And Infra Solutions IPO?
The price band of Denta Water And Infra Solutions IPO is ₹279 to ₹294.
Where can I read more about Denta Water And Infra Solutions business?
You can read more about Denta Water And Infra Solutions and its IPO from the company’s red herring prospectus (RHP) here.
What is the Denta Water and Infra Solutions IPO?
The Denta Water and Infra Solutions Limited IPO is a 100% book-built offer of ₹220.50 crores. It does not have an offer for sale. The offer consists of a fresh issue of 0.75 crores.
How does one apply for the Denta Water and Infra Solutions Limited IPO?
You can invest in the Denta Water and Infra Solutions IPO through Kotak Securities. The steps to apply through Kotak Securities are given above.
