EMS Limited IPO GMP Review

 EMS Limited IPO GMP And Complet Review


Water and wastewater collection, treatment, and disposal services-based company EMS will launch its IPO. Let’s go to see important details and important factors:

EMS IPO Date, Price, EMS IPO GMP, EMS IPO Review, Analysis & Details



What exactly does EMS Limited do?


EMS works for government authorities/bodies in these areas –
● Sewerage Solution,
● Water Supply System,
● Water and Waste Treatment Plants,
● Electrical Transmission and Distribution,
● Road and Allied works for government authorities /bodies.

Apart from this, operation and maintenance is also done –

● Wastewater Scheme Projects (WWSPs) – Sewage Treatment Plants (STPs) and Sewage Network Schemes and Common Effluent Treatment Plants (CETPs)
● Water Supply Scheme Projects (WSSPs) – Water Treatment Plants (WTPs), pumping stations, and laying of pipelines for the supply of water.
Established in 2012, this company was doing 4MLD (Minimum Liquid Discharge) projects in the beginning, today it has doing 67 projects in 11 years mainly in Bihar, Uttarakhand, Madhya Pradesh, Rajasthan, and Haryana.


Many government authorities/bodies have also worked –
● Uttar Pradesh Jal Nigam (UPJN),
● Construction and Design Services (C&DS),
● Military Engineering Services (MES), and
● Indian Railway Construction Limited (IRCON).

Made with Visme

100% of the company’s revenue is currently coming from government entities and agencies.

So should one subscribe to EMS IPO?

Now let’s see the quality of the company, financially wise

FINANCIAL HIGHLIGHTS – EMS LIMITED

EMS IPO Date, Price, EMS IPO GMP, EMS IPO Review, Analysis & Details


 

IPO Market Cap

Rs 1171.7 Cr

P/E (x)

10.78.

ROE

22.27%

ROCE

28.26%

Debt/Equity

0.09

EPS (Rs)

23.15

RoNW

22.31%

 

EMS Limited Strengths: 

● The company has many years of experience in EPC/HAM projects.

● Almost all the projects of the company are funded by the World Bank, due to which the company does not have to rely on debt.

● The company works on the asset-light business model, which allows it to minimize its costs and also improve profits and margins.

● The company’s order backlog is quite good this year.

● The company has many ambitious projects for the Indian government.

EMS Limited IPO Company’s Weakness

● The entire revenue (100%) of the company comes from government projects. So if the government policy changes – regarding environment and water treatment then the company may suffer loss.
● The company has received only 12% more tenders than the number of tenders received in the last 5 years.
● The company’s business is concentrated in only 4 states: Bihar, UP, Uttarakhand, and Rajasthan.

What are analysts and brokers saying EMS Limited IPO?

Anand Rathi – Subscribe

Remarks: The issue is reasonably priced

Stoxbox: Subscribe

Remarks: It is fairly valued compared to its peers, and the company is in the midst of further expansion.

Capital Market: Subscribe (Rating
49/100)

Remarks: healthy order book,
strong order pipeline.

Now to finally subscribe, these are the important IPO details: 

EMS IPO Date, Price, EMS IPO GMP, EMS IPO Review, Analysis & Details



IPO Date

September 8, 2023
to September 12, 2023

GMP

125 (September 8)

Face Value

₹10 per share

Price

₹200 to ₹211 per
share

Lot Size

70 Shares

Total Issue Size

[.] shares

(aggregating up to
₹321.24 Cr)

Fresh Issue

[.] shares

(aggregating up to
₹146.24 Cr)

Offer for Sale

8,294,118 shares
of ₹10

(aggregating up to
₹175.00 Cr)

Issue Type

Book Built Issue
IPO

Listing At

BSE, NSE

Shareholding pre-issue

48,600,000

 

What is the objective of this IPO?

    
Listing

    
General Corporate
expenses

     Funding of working capital requirement




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