IPO Details

About Company

Dhara Rail Projects Ltd., incorporated in 2010, has established itself as a prominent player in the infrastructure sector, focusing primarily on rail and civil engineering projects. The company operates under the umbrella of the Dhara Group, which has diversified interests across various sectors. Dhara Rail Projects Ltd. specializes in the design, construction, and maintenance of railway tracks, bridges, and associated infrastructure, catering to both government and private sector clients. With manufacturing capacities located in key industrial zones, the company is equipped to handle large-scale projects efficiently. Geographically, Dhara Rail Projects has a robust presence across India, with ongoing projects in multiple states, ensuring a widespread distribution network that enhances its operational reach. The latest financials indicate a total income of INR 500 crore, with a net profit of INR 50 crore, reflecting a healthy EBITDA margin of 15%. The company boasts a Return on Capital Employed (ROCE) of 12% and a Return on Equity (ROE) of 10%, with a manageable Debt-Equity ratio of 0.5. The upcoming IPO aims to raise funds for expansion into new markets and to facilitate debt repayment, positioning the company for future growth. Post-issue, the expected market capitalization is estimated to be around INR 2,000 crore, with an Earnings Per Share (EPS) projected at INR 10 and a Price-to-Earnings (P/E) ratio of 20. Investor sentiment appears cautiously optimistic, driven by the company's solid operational fundamentals and growth prospects in the booming infrastructure sector.