Backed by marquee investors like Ashish Kacholia, Mukul Agrawal, and The Wealth Company, the Thane-based engineering, procurement and construction (EPC) firm is aiming to strengthen its working capital base and fund general corporate purposes through the issue.
The IPO comprises a fresh issue of shares worth Rs 721 crore and an offer for sale of Rs 51 crore. The price band has been fixed at Rs 92–97 per share, and the company will be listed on both BSE and NSE. Investors can bid in lots of 148 shares.
Even though there is Ashish Kacholia factor for strong investor interest, the GMP is relatively moderate, Here’s what top brokerages say on what’s working for the IPO
Adroit Financial Services: Subscribe for long-term
Adroit Financial is positive on Vikran Engineering, highlighting its strong execution track record, diversified portfolio, and alignment with government infrastructure push. The firm recommends investors to “Subscribe for long-term” citing stable revenue growth, efficient asset-light model, and rising opportunities in renewables and railways.
Lakshmishree: Subscribe for long-term
Lakshmishree also gave a “Subscribe for long-term” call. The brokerage pointed out that Vikran’s revenue grew at a CAGR of over 32% between FY23–FY25, and its order book visibility is strong at 2.7x FY25 revenue. It believes the company’s financial metrics like ROE of 16.6% and improving EBITDA margins make it a compelling long-term bet.
Anand Rathi: Subscribe
Anand Rathi recommended a “Subscribe” rating, citing Vikran’s robust order book, growing presence across states, and increasing share in high-margin solar and railway EPC projects. It noted the company’s efficient asset-light business model allows scalability while maintaining a lean balance sheet.
Arihant Capital: Subscribe for long-term
Arihant Capital echoed the bullish stance, urging investors to “Subscribe for long-term.” It emphasized the company’s nationwide presence, diversified execution capabilities, and alignment with government programs like Jal Jeevan Mission and National Solar Mission.
BP Equities: Subscribe
BP Equities too assigned a “Subscribe” rating, stating that Vikran Engineering is well-placed to benefit from India’s infrastructure-led growth cycle. Its recommendation is based on strong financial growth and visibility in future government EPC orders.
Nirmal Bang: Subscribe for long-term
Nirmal Bang took a positive view and advised “Subscribe for long-term,” noting that the company’s focus on asset-light operations and strong government ties will likely support sustainable growth and margin expansion.
Reliance Securities (Wealthyvia Research): Subscribe
Reliance Securities, through Wealthyvia Research, also recommended “Subscribe,” pointing to Vikran’s scalable EPC platform, pan-India operations, and participation in critical projects like high-speed rail and large solar PV projects.
SBI Securities: Neutral
In contrast, SBI Securities maintained a “Neutral” view, citing that while Vikran has shown strong growth, valuations appear stretched compared to peers. It flagged risks like government contract dependency, high working capital needs, and recent regulatory concerns.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)