Sadbhav Engineering IPO
Sadbhav Engineering IPO — date, price band, lot size & details 2006
Sadbhav Engineering listed on 1 Mar 2006 at ₹220, 18.9% above the ₹185 issue price.
Sadbhav Engineering is an Ahmedabad based construction company that builds roads and highways, irrigation works and carries out mining operations. Its total income was Rs 207.28 crore in FY2005.
Stock price
Sadbhav Engineering is listed — here is the live share price.
Researched & reviewed by
Abhishek Vohera,
Founder, IPO Guru
Last updated
Figures sourced from the RHP, BSE & NSE
Timetable
Key dates from opening to listing. Today is 12 November.
- Open 03 Feb 2006
- Close 08 Feb 2006
- Allotment 21 Feb 2006
- Refund/credit TBA
- Listing 01 Mar 2006
Issue summary
The terms of the offer, as filed.
| IPO Dates | 3 to 8 Feb, 2006 |
|---|---|
| Price Band | ₹165 – ₹185 |
| Face Value | ₹10 |
| Lot Size | 35 Shares |
| Issue Size | ₹53.65 Cr |
| Sale Type | Fresh capital only |
| Listing On | BSE, NSE |
| Registrar | MUFG Intime India Private Limited |
| Min Investment | ₹ 6,475 |
Share of the offer set aside for each investor category, as stated in the offer document.
What will it cost me?
Bidding is in multiples of 35 shares at the ₹185 cut-off. Drag to size your application.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 35 | ₹6,475 |
| Retail (max) | 30 | 1,050 | ₹1,94,250 |
| S-HNI (min) | 31 | 1,085 | ₹2,00,725 |
| S-HNI (max) | 154 | 5,390 | ₹9,97,150 |
| B-HNI (min) | 155 | 5,425 | ₹10,03,625 |
Strengths & risks
Drawn from the offer document — the case for and against, side by side.
Strengths · 4
- 01Profit after tax rose from Rs 4.27 crore in FY2003 to Rs 7.39 crore in FY2005.
- 02Net worth rose from Rs 36.51 crore in FY2003 to Rs 65.89 crore in September 2005.
- 03It works in 3 areas: roads, irrigation and mining.
- 04Total income was Rs 123.82 crore in six months to September 2005.
Risks · 5
- 01Total income fell from Rs 247.31 crore in FY2004 to Rs 207.28 crore in FY2005.
- 02EBITDA fell from Rs 30.93 crore in FY2003 to Rs 27.25 crore in FY2005.
- 03It had to go to court to recover money from some clients; total assets were Rs 229.85 crore.
- 04Government contracts depend on budgets and payments; profit was Rs 5.70 crore in six months.
- 05Promoter group holding fell from 74.29% before the issue to 54.53% after it.
Three years of numbers
All figures in ₹ crore, as reported in the Sadbhav Engineering offer document.
| Metric | 30 Sep 2005 | 31 Mar 2005 | 31 Mar 2004 | 31 Mar 2003 |
|---|---|---|---|---|
| Assets | 229.85 | 213.38 | 191.70 | 190.34 |
| Total Income | 123.82 | 207.28 | 247.31 | 214.56 |
| Profit After Tax | 5.70 | 7.39 | 5.05 | 4.27 |
| EBITDA | 15.96 | 27.25 | 27.71 | 30.93 |
| NET Worth | 65.89 | 60.30 | 41.42 | 36.51 |
| Reserves and Surplus | 58.04 | 52.35 | 40.42 | 35.51 |
See how this IPO compares — view listing performance of all mainboard IPOs.
Valuation & key ratios
Ratios are for the latest full financial year reported in the Sadbhav Engineering RHP. EPS and P/E are post-issue — the table below carries the pre-issue comparison.
Sadbhav Engineering IPO Valuation
How the issue prices the company before and after the fresh shares are created.
| Valuation Metric | Pre-Issue | Post-Issue |
|---|---|---|
| EPS (₹) | ₹9.24 | ₹10.45 |
| P/E Ratio (x) | 20.03 | 17.70 |
| Market Cap at Offer Price (₹ Cr) | ₹114.12 | ₹100.91 |
Pre-issue figures use the shareholding reported in the RHP; post-issue figures use the shareholding once the fresh issue has created new shares. The two differ because of that dilution and because post-issue earnings per share are often annualised, so the change can run in either direction. Market capitalisation is calculated at the ₹185 offer price. Compare the post-issue P/E against listed peers before deciding — a premium there is growth you are paying for in advance.
Where the money goes
₹59.63 Cr of the issue is earmarked to named objects.
About the company
It builds and upgrades roads and highways, builds irrigation works such as earthen dams and canals, and runs mining operations.
It had executed government contracts since incorporation, and had filed cases against some clients to recover money spent on projects.
The IPO was Rs 53.65 crore and was entirely a fresh issue at Rs 185, the top of the Rs 165 to Rs 185 band.
Interested in this IPO? Check the live subscription status or browse all upcoming mainboard IPOs.
The bankers & the filings
Who is running the book, and the documents this page is built from.
Sadbhav Engineering IPO Documents
Read the filings this page is built from.
Lead Manager Track Record
How the book-running lead managers on this issue have priced their past IPOs, measured on listing day.
Edelweiss Financial Services Ltd
73 issues handledBest listing: Route Mobile (+104.9%). Weakest: ICICI Securities (-16.3%).
Inga Ventures Pvt. Ltd
5 issues handledBest listing: Transrail Lighting (+36.6%). Weakest: Allcargo Global Logistics (-1.5%).
Karvy Investor Services Ltd
31 issues handledBest listing: Ramkrishna Forgings (+92.3%). Weakest: Astral Poly Technik (-10.4%).
Listing gain compares the listing-day opening price with the issue price, using the IPOs on IPO Guru that this lead manager has taken to market. A strong record reflects how the banker has priced past issues — it is not a forecast for this one. See every issue they have handled on the lead managers page.
Company contact
Frequently asked
What is the GMP of Sadbhav Engineering?
The current Grey Market Premium is ₹0.
What is the Sadbhav Engineering IPO price band?
₹165 to ₹185, on a face value of ₹10.
When is the allotment?
The basis of allotment is 21 February 2006, with listing on 1 March 2006.
How do I check allotment status?
On the IPO Guru allotment page or on the registrar's site — MUFG Intime India Private Limited.
Every number here traces back to a filing.
IPO Guru tracks GMP, subscription and allotment for every Mainboard and SME issue. Every number on this page is sourced from the RHP, BSE & NSE.
Not investment advice. Grey market premium is an unofficial, unregulated indicator and is not a forecast.
