Vascon Engineers Ltd IPO Details

Price Band: Rs.165 to Rs.185
Issue Opens on: January 27, 2010
Issue Closes on: January 29, 2010

Vascon Engineers Ltd IPO Issue highlights
•Vascon Engineers Limited (VEL) is one of the leading engineering, procurement & construction (EPC) services company, having completed 181 contracts with an aggregate contract value of Rs 889 cr. Of these contracts 157 were for third party (contract value Rs656 cr) and balance 24 were for projects developed by it (Contract value Rs233 cr).
•VEL has 24 years of experience in EPC services. Currently the company has strong order book with 70 Ongoing and forthcoming EPC contracts, with an estimated total contract value of Rs4,014 cr with an order backlog of Rs3,227 cr.
•Strong order book of Rs4014 cr (~8 times FY09 revenue) indicates good future growth prospects.
•In FY09 despite economic downturn the Primary segment (EPC) grew
around 48% y-o-y.
•After developing significant expertise in construction, VEL has diversified into realty. The company has completed a total 42 real estate projects with an aggregate saleable area of over 4.99 million square feet. Additionally VEL has sold land and land development rights aggregating 2.04 million square feet.
•As a diversification strategy VEL has entered into high growth but non-metropolitan regions across the country such as Nashik, Coimbatore, Aurangabad, Ahmedabad, Madurai and Belgaum.
•This Issue has been graded by CRISIL as 3/5, indicating average fundamentals through its letter dated December 8, 2009 and January 11, 2010

Vascon Engineers IPO Details:
Issue Opens on:  January 27, 2010
Issue Closes on:  January 29, 2010
Bid Lot:  35 Equity Shares & its Multiples
Price Band: Rs.165 to Rs.185
Issue size: Rs.198 crore
IPO Grading: 3/5 by Crisil