Upcoming IPOs in 2024: Kolkata-based Rahee Infratech filed a draft red herring prospectus (DRHP) for an initial public offering (IPO) with the market regulator Securities and Exchange Board of India (SEBI) on September 30. The public offer is a combination of fresh issue of shares and an offer for sale (OFS) by the existing shareholders.

Rahee Infratech IPO breakdown

The IPO, with a face value of ₹2 per equity share, consists of a fresh issue amounting to ₹420 crore and an offer for sale of up to 2.7 million equity shares. The OFS includes the sale of up to 1,059,843 shares by Pradeep Khaitan, 519,400 shares by Pawan Khaitan, 834,257 shares by Ravi Khaitan, 52,500 shares by Nandini Khaitan, and 314,857 shares by Shashi Khaitan.

Rahee Infratech overview

Rahee Infratech specialises in railway civil engineering, manufacturing, and construction. The company has a strong presence in bridge building and track works. It has completed 105 major railway bridges and constructed over 258.9 km of ballastless tracks for metro rails.

As of July 31, 2024, the company had 16 bridge projects and 12 track projects underway across 18 states. Its order book, as of March 31, 2024, stood at ₹2,296.27 crore. The company aims to continue focusing on bridge and track projects while exploring new construction areas such as viaducts for metro and railway infrastructure.

Rahee Infratech’s client list includes major players in the railway sector such as Rail Vikas Nigam and IRCON International.

The company has four manufacturing facilities in West Bengal and Telangana. It also operates two steel fabrication sites in West Bengal and Odisha. Rahee Infratech has partnerships with international firms like Pandrol and Tracktec GmbH for advanced railway technologies.

Rahee Infratech Financials

Rahee Infratech’s operational revenue grew at a compound annual growth rate (CAGR) of 31.69 per cent, rising from ₹556.84 crore in FY 2022 to ₹965.74 crore in FY 2024. Its profit after tax (PAT) also surged to ₹71.31 crore in FY 2024 from ₹37.81 crore in FY 2022.

IIFL Securities and Equirus Capital are managing the IPO. The share sale will be conducted through a book-building process, with allocations for different investor categories.

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