Concord Enviro Systems To Float IPO On December 19

Concord Enviro Systems Limited, established in July 1999, is a worldwide provider of solutions for water and wastewater treatment, including Zero Liquid Discharge (ZLD) technology. The firm offers comprehensive services that encompass design, manufacturing, installation, operation, maintenance, and IoT-enabled digitalisation.

Concord Enviro Systems Limited IPO Details 

The company’s Initial Public Offering (IPO) is a book-built issue comprising a new issue of ₹175 crore along with an offer for sale of 0.46 crore shares. Subscriptions for Concord Enviro Systems IPO will open on Dec 19, 2024 and close on Dec 23, 2024. Allotments are anticipated on Dec 24, 2024, with the listing likely to occur on Dec 27, 2024, on the BSE and NSE. The price range has yet to be disclosed. Motilal Oswal Investment Advisors and Equirus Capital will serve as the lead managers, with Link Intime India acting as the registrar.

Finance Of Concord Enviro Systems Limited

Concord Enviro Systems Limited has reported impressive financial growth, with revenue rising by 46% to ₹512.27 crore, and profit after tax (PAT) soaring by 655% to ₹41.44 crore for the financial year 2024, compared to ₹350.5 crore and ₹5.49 crore in the previous year. As of August 31, 2024, the company’s total assets reached ₹640.09 crore, an increase from ₹627.68 crore in March 2024.

The net worth remained stable at ₹319.71 crore, while reserves and surplus stood at ₹300.59 crore. Total borrowings grew to ₹167.53 crore by August 2024, up from ₹153.19 crore in March 2024. This highlights the company’s solid growth in both profitability and financial stability.

Objective Of The IPO

The company aims to strategically allocate the net proceeds from the new issue to bolster its operational capabilities and drive further growth. Significant investments will involve financing its wholly owned subsidiary, Concord Enviro FZE, for a greenfield project in the UAE aimed at establishing an assembly unit for water and wastewater treatment systems. The funds will also support working capital requirements and repay existing debt.

Additionally, the company plans to invest in Rochem Separation Systems (India) to enhance manufacturing and storage facilities in Vasai through a brownfield project.The company is focused on acquiring modern machinery and equipment, expanding the pay-per-use model of its joint venture, Roserve Enviro, and investing in technology and market growth initiatives. Any remaining funds will be directed towards general corporate purposes to support sustainable development.

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