As per DRHP, this IPO contains completely fresh issues and there is no offer for sale (OFS) in it. The company’s shares have a face value of ₹2 per share.
The pre-IPO placement aims to raise about Rs 120 crore for the company. If such a placement is made, the funds raised will be subtracted from the IPO’s total value.
The book running lead managers for the public issue are Nuvama Wealth Management Limited, IIFL Securities Limited, and JM Financial Limited.
The company is planning to use the net proceeds from its fundraising to fund a number of strategic initiatives. These include repaying or prepaying certain outstanding borrowings in full or in part, funding the company’s working capital requirements, and investing in its subsidiary, Buildmex-Infra Private Limited, to meet its working capital needs. In addition, the company plans to buy a portion of its subsidiary, ArisUnitern Re Solutions Private Limited, from existing shareholders and use the proceeds for general corporate purposes and potential inorganic acquisitions yet to be identified.
The company is a B2B technology-enabled enterprise that is making major advances in the growing construction materials market. According to the RedSeer Report, the company’s focus is on simplifying and digitizing the entire construction material procurement process, resulting in an efficient end-to-end experience.
The company delivered 10.35 million metric tons of construction materials from April 1, 2021 to March 31, 2024, including construction chemicals, walling solutions, ready-mix concrete, cement, steel, and aggregates. It provided services to 2,133 clients in almost 1000 pin codes across multiple cities, employing 1,458 vendors.
For the fiscal year 2023–2024, ArisInfra recorded revenue of ₹700 crore and EBITDA (earnings before interest, taxes, depreciation, and amortization) of ₹40 crore.
