LCC Projects Ltd IPO
Status: Closed
Overview
IPO date
09 Sept 2026 to 11 Sept 2026
Face value
₹ 5 per share
Price
₹ 139 to ₹146 per share
Issue Size
29,256,232 shares
(aggregating up to ₹ 427.14 Cr)
(aggregating up to ₹ 427.14 Cr)
Allotment Date
15 Sept 2026
Listing at
NSE
Issue type
Book Building
Sector
Infrastructure Developers & Operators
Unlock Stock of the Month
T&C*
Strengths vs Risks of LCC Projects Ltd
Know the pros & cons
Strengths
- Multidisciplinary EPC company in India for irrigation and water supply projects.
- Strong Order Book and diversified project portfolio.
- In-house project designing capabilities with robust technical knowledge.
- Strong risk management, project selection and dispute resolution processes.
- Efficient business model.
- Experienced management team and qualified personnel with significant industry experience.
Risks
- The company's inability to collect receivables outstanding and due to be paid by its customers, in a timely manner, or at all, may adversely affect the company's business, financial condition, results of operations and cash flows.
- The company has certain contingent liabilities which have been disclosed in its Restated Consolidated Financial Information, which if they materialize, may adversely affect the company's results of operations, cash flows and financial condition.
- The company's business operations are being conducted on premises leased from third parties. Its inability to continue operating from such premises, or to seek renewal or extension of such leases may have an adverse effect on the company's business, operations and financial condition.
- The Company has a significantly higher level of indebtedness and leverage compared to its listed industry peers, which could increase the company's financial risk and adversely affect its operational flexibility and competitive position.
- Revenue from the company's top ten customers comprise a significant portion of its revenue from operations i.e. 72.30% for Fiscal 2026, 84.10% for the Fiscal 2025, and 82.76% for the Fiscal 2024. Any failures to maintain the company's relationship with these customers, any adverse changes affecting their financial condition or the loss of any of its customers will have an adverse effect on the company's business, results of operations, financial condition and cash flows.
- There are outstanding legal proceedings involving the Company, Subsidiaries, Promoters and Directors. Any adverse decision in such proceedings may adversely affect its business, financial condition and results of operations.
- The company is an infrastructure company operating primarily in the irrigation and water supply projects segment and its business significantly (79.07% for the Fiscal 2026, 85.19% for the Fiscal 2025, and 87.72% for the Fiscal 2024) depends on projects awarded by state and central government departments, which may impact the company's results of operations and financial conditions.
- The company operations are geographically concentrated in the states of Gujarat and Madhya Pradesh. Any localized social unrest, natural calamities, etc., could have material adverse effect on business and financial operations.
- The company's employee attrition rate for Fiscal 2026 was 23.94%. If the company is unable to manage attrition and attract and retain skilled professionals, it may adversely affect the company's business prospects, reputation and future financial performance.
- The Company is subject to anti-bribery, anti-corruption and sanctions laws and regulations any violation of which could adversely affect its reputation, business, financial condition, results of operations.
- The company's business significantly depends on its ability to successfully bid for and acquire projects in the irrigation and water supply projects segment. In the Fiscals 2026, 2025, and 2024, the company's bid success rate was 13.53%, 21.35%, and 22.89%, respectively. Its inability to successfully bid for and acquire new projects in the irrigation and water supply projects segment could have an adverse effect on the growth of the company's business.
- The actual cost incurred by the company during the course of executing a particular project may vary significantly from the assumptions underlying its bid. The company may be unable to recover all or part of the incremental expenses incurred, which could adversely affect its financial condition, results of operation and cash flows.
- A significant portion of the company Order Book is derived from Jal Jeevan Mission projects, and any change in related Government policy may adversely affect its business.
- The company relies on sub-contractors, to complete certain aspects of project execution and any failures arising from non-performance, delayed performance or inadequate quality in the performance of work by such third parties, or a failures by third-party subcontractors to comply with applicable laws, to obtain the necessary approvals, or provide services on agreed terms, could adversely affect the company's business, financial condition, results of operations and cash flows.
- The Offer Price is at a significant premium to the listed peer group P/E ratio.
- As a part of its business, for projects with certain customers, the company is required to furnish bank guarantees and performance guarantees. Its inability or failures to arrange for such guarantees or the invocation of such guarantees may adversely affect the company's cash flows and financial condition.
- Delays in the completion of construction of ongoing projects could lead to termination of the company's contracts or cost overruns or claims for damages, which could have an adverse effect on its cash flows, business, results of operations and financial condition.
- The company has recently established manufacturing units to enters the precast concrete business, a sector in which the company has no prior operating experience. Any failures to successfully manage this new business vertical could materially and adversely affect its business, financial condition, and results of operations.
- The company's business is working capital intensive. If its experience insufficient cash flows or are unable to obtain suitable financing to meet working capital requirements, the company's business, financial condition and results of operations could be adversely affected.
- The Order Book of the Company may not be indicative of its future results, and the company's actual income may be significantly less than the estimates reflected in its order book, which could adversely affect the company's business and results of operations.
- The execution of the company's projects is subject to fluctuations due to seasonal, climatic and other factors and any such fluctuations may adversely affect its business, financial condition, results of operations and cash flows.
- Delays in project execution due to resistance from local communities and other external factors could adversely affect the company's business and financial condition.
- The projects that the company execute are exposed to various risks and other uncertainties, and its risk management and project selection framework may be inadequate, which may adversely affect the company's business, results of operations and financial condition.
- The company's business is dependent on procurement of construction material from its suppliers. The company does not have long-term agreements with its suppliers for the supply of construction material and any increase in the cost of, or a shortfall in the availability of, such construction materials could have an adverse effect on the company's business and results of operations.
- Its listed peers outperform the company in terms of certain of its key performance indicators. The company cannot assure you that similar differences in performance for these or any other indicators will not continue in the future.
- Delays in the acquisition of private land or rights of way, eviction of encroachments, environmental clearances for the projects or resolution of associated land issues, which are though attributable to the company's customers, may adversely affect its timely performance of the company's contracts and lead to disputes and losses thereby having an adverse effect on its business, results of operations and financial condition.
- The company's inability to manage employees could result in shortages or underutilization, which could adversely affect its profitability.
- Its business has grown rapidly in recent periods, and if the company is not successful in managing its growth, the company's business, financial condition and results of operations may be adversely affected.
- The objects of the Offer include orders for equipment and machinery which have not yet been placed. In the event of any delay in placement of such orders, the proposed schedule of implementation and deployment of the Net Proceeds may be extended or may vary.
- Projects undertaken through a joint venture may be delayed on account of non-performance of the joint venture partner, resulting in delayed payments or invocation of performance guarantee issued by the company, could lead to material adverse effect on its business, prospects, financial condition and results of operations.
- While the company continue to focus on water management projects as part of its growth strategy, the company intends to diversify into and will continue to bid for projects related to renewable energy including solar and wind power projects and other projects including mining, waste-water management, desalination, railways, metro rail and sewerage network and treatment. The company's diversification beyond projects in the irrigation and water supply sector may not be successful, which could adversely affect its business, financial condition, results of operations and prospects.
- A significant and increasing portion of the company's recognized revenue is unbilled, which exposes it to risks related to estimation, delays in billing and collection, and could adversely affect the company's cash flows and financial condition.
- The company faces competition from other companies operating irrigation and water supply projects segment as well as other segment where the company has forayed. If its unable to compete for and win contract awards, the company's business, prospects and financial condition could be adversely affected.
- The company failures to successfully implement its expansion plan to other parts of India could adversely affect the company's business and results of operations.
- The company has in the past entered into related party transactions and may continue to do so in the future, which may potentially involve conflicts of interest with the equity shareholders.
- The company owns and rent equipment and mobilize such equipment at the beginning of each project resulting in increased fixed costs to the company. In the event its not able to generates adequate cash flows it may have a material adverse impact on the company operations.
- Our operations and profitability could be affected if we fail to keep pace with technical and technological developments in the construction industry.
- Our operations are subject to environmental, health and safety laws. Adherence with, and changes in, such environmental, health and safety laws and regulations or stringent enforcement of existing environmental, health and safety laws and regulations may result in increased liabilities which may adversely affect our cash flows, business results of operations and financial condition.
- There have been certain instances of delays in payment of statutory dues by our Company in the past. Any delay in payment of statutory dues by our Company in future may result in the imposition of penalties and in turn may have a material adverse effect on our business, results of operations and financial condition.
- Our inability to meet our obligations, including financial and other covenants under our debt financing arrangements and any delay in obtaining consent for our lenders may limit our ability to pursue our business and could adversely affect our business, financial condition, results of operations and cash flows.
- A substantial and growing portion of our total liabilities is current in nature, which could expose us to significant liquidity and refinancing risks.
- Our substantial reliance on non-fund-based facilities, particularly bank guarantees, which constitute a significant portion of our total financial obligations, exposes us to considerable liquidity, credit, and operational risks
- Our Company has availed certain unsecured borrowings which are repayable on demand. Any such demand may adversely affect our business, cash flows, financial condition and results of operations.
- We have significant outstanding dues to our creditors, and any delay or default in settling these dues could adversely affect our business operations, cash flows, and reputation.
- There can be no assurance that we will be able to successfully execute our growth strategies, which could affect our business, prospects, results of operations and financial condition.
- Prepayment of our borrowings from the Net Proceeds may attract significant prepayment charges, which will be funded from our internal accruals and could adversely affect our financial condition.
- We are heavily dependent on our Promoters for our business operations and our prospective growth, and the loss of, any of the Promoters could adversely affect our business, results of operations and financial condition.
- We may not be able to adequately protect our intellectual property or may unintentionally infringe upon the intellectual property rights of others which could substantially harm our business.
- Majority of our Directors do not have prior experience of holding a directorship in a company listed on the Stock Exchanges, which could adversely affect our compliance with regulations post-listing.
- We propose to procure certain equipments, namely SANY Model: SKT105S Wide Body Dump Truck - 36 Cub m body and SANY Model: SY870LC-10HD HYDRAULIC EXCAVATOR from SANY Heavy Industry India Private Limited (SANY), which is a wholly owned subsidiary/ whose ultimate holding company is of Sany Heavy Industry Co., Ltd, a Chinese-headquartered group. Any restrictions on imports of equipments, regulatory actions, or policy changes affecting entities with ultimate beneficial ownership in China could adversely impact the procurement and our deployment schedule for the Offer.
- Our Company is subject to risks arising from interest rate fluctuations, which could reduce the profitability of our projects and adversely affect our business, financial condition and results of operation.
- Any downgrade in our credit rating could adversely affect our ability to raise capital in the future.
- We have converted from a partnership company to a private company, and then further from a private company to a public company. Some of our properties may still be in the name of the partnership or the private company. This may adversely affect our ability to demonstrate title to our properties.
- Our listed peers have historically reported better profitability and return ratios than us, and we may not be able to achieve comparable performance in the future.
- We require certain statutory and regulatory permits and approvals in the ordinary course of our business, and our failure to obtain, renew or maintain them in a timely manner may adversely affect our operations
- The business development efforts of our Company involve considerable time and expense, and our revenues may not justify expenses incurred towards business development efforts.
- Our increasing inventory levels expose us to significant working capital, liquidity, and financial risks.
- Any breakdowns of our equipment or failures to repair or maintain equipment may adversely affect our business, cash flows, financial condition and results of operations
- Our insurance coverage may not be sufficient or may not adequately protect us against all material hazards, which could have an adverse effect on our business, results of operations, cash flow and financial condition.
- Our Promoters and Directors may have an interest in our Company other than reimbursement of expenses incurred or normal remuneration or benefits.
- If we are unable to establish and maintain an effective internal controls and compliance system, over financial reporting, our reputation could be adversely affected.
- Our ability to pay dividends in the future will depend on our earnings, financial condition, working capital requirements, capital expenditures and restrictive covenants of our financing arrangements.
- We incur significant employee benefits expense. An increase in employee costs, including on account of changes in regulations, may prevent us from maintaining our competitive advantage and may reduce our profitability.
- Our Promoters and certain members of the Promoter Group shall continue to retain significant control in our Company after the Offer, which shall allow them to influence the outcome of matters submitted to shareholders for approval. Such a concentration of ownership may also have the effect of delaying, preventing or deterring a change in control.
- Any failure or disruption of our information technology systems could adversely impact our business and operations.
- Certain sections of this Red Herring Prospectus disclose information from the ICRA Report which has been prepared exclusively for the Offer and commissioned and paid for by our Company in connection with the Offer, and any reliance on such information for making an investment decision in the Offer is subject to inherent risks.
- We may become subject to various operational, reputational, legal claims, regulatory actions or other liabilities which could have an adverse effect on our business, results of operations and financial condition.
- Our Company's management will have flexibility in utilizing the Net Proceeds, subject to certain approvals. There is no assurance that the deployment of the Net Proceeds in the manner intended by us will result in any increase in the value of your investment. Further, the funding plan has not been appraised by any bank or financial institution.
- Any variations in our funding requirements and the proposed deployment of Net Proceeds may affect our business and results of operations.
- The market value at Offer Price to total turnover and the Price/Earnings (P/E) Ratio at Offer Price of our Equity Shares may not be indicative of the future market price or our Company's actual performance.
- Our Company will not receive any proceeds from the Offer for Sale portion. The Selling Shareholders will receive the Net Proceeds from such Offer for Sale.
- We have included certain Non-GAAP Measures, industry metrics and key performance indicators related to our operations and financial performance in this Red Herring Prospectus that are subject to inherent measurement challenges. These Non-GAAP Measures, industry metrics and key performance indicators may not be comparable with financial, or industry-related statistical information of similar nomenclature computed and presented by other companies. Such supplemental financial and operational information is therefore of limited utility as an analytical tool for investors and there can be no assurance that there will not be any issues or such tools will be accurate going forward.
LCC Projects Ltd Peer Comparison
Understand the company’s industry standing
LCC Projects Limited
Vishnu Prakash R Punglia Limited
Enviro Infra Engineers Limited
Face Value
5
10
10
Standalone / Consolidated
Consolidated
Consolidated
Consolidated
Total Income Rs. Cr.
3600.252
851.195
1145.6
EPS-Basis
10.42
-12.04
10.42
EPS-Diluted
10.42
-12.04
10.41
NAV Per Share
32.66
50.54
70.23
P/E-Basic EPS
---
---
19.14
P/E-Diluted EPS
---
---
---
RONW(%)
32.24
---
15.28
Latest NAV Period
---
---
---
Latest NAV
---
---
---
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The IPO opens on 09 Sept 2026 & closes on 11 Sept 2026.
LCC Projects Limited was originally converted from a partnership firm, registered under the Indian Partnership Act, 1932 under the name and style of M/s. Laxmi Construction Co. to LCC Projects Private Limited, a private limited company dated December 28, 2017, with Registrar of Companies, Central Registration Centre. Subsequently, Company was converted from a Private Company to a Public Company, followed by change in name of the Company to 'LCC Projects Limited' and a fresh Certificate of Incorporation was issued by RoC, on December 5, 2024.
The Company started its operations from Gujarat and gradually expanded to undertake projects in other states in India. The Company have experience of executing projects across diverse geographic locations in India. For instance, it diversified geographical presence in construction and development and execution of projects in various states of India, such as Madhya Pradesh, Gujarat, Odisha, Maharashtra, Chhattisgarh, Jharkhand, Uttar Pradesh, Haryana, Himachal Pradesh, Rajasthan and Karnataka. It has executed a wide range of projects in the irrigation and water supply segment such as construction of dams, barrages, weirs, hydraulic structures, canals, pipe distribution networks, lift irrigation works, water supply schemes, and other EPC projects.
At present, Company is engaged in the business of designing, construction, and operation and maintenance of roads and highways, bridges, irrigation and mining projects, construction of commercial buildings, and other ancillary services like toll collection, operation and maintenance of highways. This includes Water and Wastewater Treatment Plants (WWTPs). WWTPs include Sewage Treatment Plants (STPs), Common Effluent Treatment Plants (CETPs), along with Sewerage Networks, Water Treatment Plants (WTPs) and Water Supply Scheme Projects (WSSPs).
Company is planning an Initial Public Issue by raising funds aggregating to Rs 320 Crore equity shares of face value of Rs 5 each through fresh issue and by issuing 22,940,000 equity shares through offer for sale.
LCC Projects Ltd IPO will close on 11 Sept 2026.
- Multidisciplinary EPC company in India for irrigation and water supply projects.
- Strong Order Book and diversified project portfolio.
- In-house project designing capabilities with robust technical knowledge.
- Strong risk management, project selection and dispute resolution processes.
- Efficient business model.
- Experienced management team and qualified personnel with significant industry experience.
| S.No | Promoters Name | Pre Issue Shares | Pre Issue Percentage | Post Issue Shares | Post Issue Percentage |
|---|---|---|---|---|---|
| 1 | Arjan Suja Rabari | 111520000 | 41 | 105727500 | 36.5 |
| 2 | Laljibhai Arjanbhai ahir | 111520000 | 41 | 105727500 | 36.5 |
| 3 | Maya Arjan Rabari | 8 | --- | 8 | --- |
| 4 | Sejuben Arjanbhai Rabari | 24479984 | 9 | 24479984 | 8.45 |
| 5 | Geeta Lalji Ahir | 24479984 | 9 | 24479984 | 8.45 |
| 6 | Mansi Arjan Rabari | 8 | --- | 8 | --- |
| 7 | Meet Lalji Ahir | 8 | --- | 8 | --- |
| 8 | Kanchi Lalji Ahir | 8 | --- | 8 | --- |
- The company's inability to collect receivables outstanding and due to be paid by its customers, in a timely manner, or at all, may adversely affect the company's business, financial condition, results of operations and cash flows.
- The company has certain contingent liabilities which have been disclosed in its Restated Consolidated Financial Information, which if they materialize, may adversely affect the company's results of operations, cash flows and financial condition.
- The company's business operations are being conducted on premises leased from third parties. Its inability to continue operating from such premises, or to seek renewal or extension of such leases may have an adverse effect on the company's business, operations and financial condition.
- The Company has a significantly higher level of indebtedness and leverage compared to its listed industry peers, which could increase the company's financial risk and adversely affect its operational flexibility and competitive position.
- Revenue from the company's top ten customers comprise a significant portion of its revenue from operations i.e. 72.30% for Fiscal 2026, 84.10% for the Fiscal 2025, and 82.76% for the Fiscal 2024. Any failures to maintain the company's relationship with these customers, any adverse changes affecting their financial condition or the loss of any of its customers will have an adverse effect on the company's business, results of operations, financial condition and cash flows.
- There are outstanding legal proceedings involving the Company, Subsidiaries, Promoters and Directors. Any adverse decision in such proceedings may adversely affect its business, financial condition and results of operations.
- The company is an infrastructure company operating primarily in the irrigation and water supply projects segment and its business significantly (79.07% for the Fiscal 2026, 85.19% for the Fiscal 2025, and 87.72% for the Fiscal 2024) depends on projects awarded by state and central government departments, which may impact the company's results of operations and financial conditions.
- The company operations are geographically concentrated in the states of Gujarat and Madhya Pradesh. Any localized social unrest, natural calamities, etc., could have material adverse effect on business and financial operations.
- The company's employee attrition rate for Fiscal 2026 was 23.94%. If the company is unable to manage attrition and attract and retain skilled professionals, it may adversely affect the company's business prospects, reputation and future financial performance.
- The Company is subject to anti-bribery, anti-corruption and sanctions laws and regulations any violation of which could adversely affect its reputation, business, financial condition, results of operations.
- The company's business significantly depends on its ability to successfully bid for and acquire projects in the irrigation and water supply projects segment. In the Fiscals 2026, 2025, and 2024, the company's bid success rate was 13.53%, 21.35%, and 22.89%, respectively. Its inability to successfully bid for and acquire new projects in the irrigation and water supply projects segment could have an adverse effect on the growth of the company's business.
- The actual cost incurred by the company during the course of executing a particular project may vary significantly from the assumptions underlying its bid. The company may be unable to recover all or part of the incremental expenses incurred, which could adversely affect its financial condition, results of operation and cash flows.
- A significant portion of the company Order Book is derived from Jal Jeevan Mission projects, and any change in related Government policy may adversely affect its business.
- The company relies on sub-contractors, to complete certain aspects of project execution and any failures arising from non-performance, delayed performance or inadequate quality in the performance of work by such third parties, or a failures by third-party subcontractors to comply with applicable laws, to obtain the necessary approvals, or provide services on agreed terms, could adversely affect the company's business, financial condition, results of operations and cash flows.
- The Offer Price is at a significant premium to the listed peer group P/E ratio.
- As a part of its business, for projects with certain customers, the company is required to furnish bank guarantees and performance guarantees. Its inability or failures to arrange for such guarantees or the invocation of such guarantees may adversely affect the company's cash flows and financial condition.
- Delays in the completion of construction of ongoing projects could lead to termination of the company's contracts or cost overruns or claims for damages, which could have an adverse effect on its cash flows, business, results of operations and financial condition.
- The company has recently established manufacturing units to enters the precast concrete business, a sector in which the company has no prior operating experience. Any failures to successfully manage this new business vertical could materially and adversely affect its business, financial condition, and results of operations.
- The company's business is working capital intensive. If its experience insufficient cash flows or are unable to obtain suitable financing to meet working capital requirements, the company's business, financial condition and results of operations could be adversely affected.
- The Order Book of the Company may not be indicative of its future results, and the company's actual income may be significantly less than the estimates reflected in its order book, which could adversely affect the company's business and results of operations.
- The execution of the company's projects is subject to fluctuations due to seasonal, climatic and other factors and any such fluctuations may adversely affect its business, financial condition, results of operations and cash flows.
- Delays in project execution due to resistance from local communities and other external factors could adversely affect the company's business and financial condition.
- The projects that the company execute are exposed to various risks and other uncertainties, and its risk management and project selection framework may be inadequate, which may adversely affect the company's business, results of operations and financial condition.
- The company's business is dependent on procurement of construction material from its suppliers. The company does not have long-term agreements with its suppliers for the supply of construction material and any increase in the cost of, or a shortfall in the availability of, such construction materials could have an adverse effect on the company's business and results of operations.
- Its listed peers outperform the company in terms of certain of its key performance indicators. The company cannot assure you that similar differences in performance for these or any other indicators will not continue in the future.
- Delays in the acquisition of private land or rights of way, eviction of encroachments, environmental clearances for the projects or resolution of associated land issues, which are though attributable to the company's customers, may adversely affect its timely performance of the company's contracts and lead to disputes and losses thereby having an adverse effect on its business, results of operations and financial condition.
- The company's inability to manage employees could result in shortages or underutilization, which could adversely affect its profitability.
- Its business has grown rapidly in recent periods, and if the company is not successful in managing its growth, the company's business, financial condition and results of operations may be adversely affected.
- The objects of the Offer include orders for equipment and machinery which have not yet been placed. In the event of any delay in placement of such orders, the proposed schedule of implementation and deployment of the Net Proceeds may be extended or may vary.
- Projects undertaken through a joint venture may be delayed on account of non-performance of the joint venture partner, resulting in delayed payments or invocation of performance guarantee issued by the company, could lead to material adverse effect on its business, prospects, financial condition and results of operations.
- While the company continue to focus on water management projects as part of its growth strategy, the company intends to diversify into and will continue to bid for projects related to renewable energy including solar and wind power projects and other projects including mining, waste-water management, desalination, railways, metro rail and sewerage network and treatment. The company's diversification beyond projects in the irrigation and water supply sector may not be successful, which could adversely affect its business, financial condition, results of operations and prospects.
- A significant and increasing portion of the company's recognized revenue is unbilled, which exposes it to risks related to estimation, delays in billing and collection, and could adversely affect the company's cash flows and financial condition.
- The company faces competition from other companies operating irrigation and water supply projects segment as well as other segment where the company has forayed. If its unable to compete for and win contract awards, the company's business, prospects and financial condition could be adversely affected.
- The company failures to successfully implement its expansion plan to other parts of India could adversely affect the company's business and results of operations.
- The company has in the past entered into related party transactions and may continue to do so in the future, which may potentially involve conflicts of interest with the equity shareholders.
- The company owns and rent equipment and mobilize such equipment at the beginning of each project resulting in increased fixed costs to the company. In the event its not able to generates adequate cash flows it may have a material adverse impact on the company operations.
- Our operations and profitability could be affected if we fail to keep pace with technical and technological developments in the construction industry.
- Our operations are subject to environmental, health and safety laws. Adherence with, and changes in, such environmental, health and safety laws and regulations or stringent enforcement of existing environmental, health and safety laws and regulations may result in increased liabilities which may adversely affect our cash flows, business results of operations and financial condition.
- There have been certain instances of delays in payment of statutory dues by our Company in the past. Any delay in payment of statutory dues by our Company in future may result in the imposition of penalties and in turn may have a material adverse effect on our business, results of operations and financial condition.
- Our inability to meet our obligations, including financial and other covenants under our debt financing arrangements and any delay in obtaining consent for our lenders may limit our ability to pursue our business and could adversely affect our business, financial condition, results of operations and cash flows.
- A substantial and growing portion of our total liabilities is current in nature, which could expose us to significant liquidity and refinancing risks.
- Our substantial reliance on non-fund-based facilities, particularly bank guarantees, which constitute a significant portion of our total financial obligations, exposes us to considerable liquidity, credit, and operational risks
- Our Company has availed certain unsecured borrowings which are repayable on demand. Any such demand may adversely affect our business, cash flows, financial condition and results of operations.
- We have significant outstanding dues to our creditors, and any delay or default in settling these dues could adversely affect our business operations, cash flows, and reputation.
- There can be no assurance that we will be able to successfully execute our growth strategies, which could affect our business, prospects, results of operations and financial condition.
- Prepayment of our borrowings from the Net Proceeds may attract significant prepayment charges, which will be funded from our internal accruals and could adversely affect our financial condition.
- We are heavily dependent on our Promoters for our business operations and our prospective growth, and the loss of, any of the Promoters could adversely affect our business, results of operations and financial condition.
- We may not be able to adequately protect our intellectual property or may unintentionally infringe upon the intellectual property rights of others which could substantially harm our business.
- Majority of our Directors do not have prior experience of holding a directorship in a company listed on the Stock Exchanges, which could adversely affect our compliance with regulations post-listing.
- We propose to procure certain equipments, namely SANY Model: SKT105S Wide Body Dump Truck - 36 Cub m body and SANY Model: SY870LC-10HD HYDRAULIC EXCAVATOR from SANY Heavy Industry India Private Limited (SANY), which is a wholly owned subsidiary/ whose ultimate holding company is of Sany Heavy Industry Co., Ltd, a Chinese-headquartered group. Any restrictions on imports of equipments, regulatory actions, or policy changes affecting entities with ultimate beneficial ownership in China could adversely impact the procurement and our deployment schedule for the Offer.
- Our Company is subject to risks arising from interest rate fluctuations, which could reduce the profitability of our projects and adversely affect our business, financial condition and results of operation.
- Any downgrade in our credit rating could adversely affect our ability to raise capital in the future.
- We have converted from a partnership company to a private company, and then further from a private company to a public company. Some of our properties may still be in the name of the partnership or the private company. This may adversely affect our ability to demonstrate title to our properties.
- Our listed peers have historically reported better profitability and return ratios than us, and we may not be able to achieve comparable performance in the future.
- We require certain statutory and regulatory permits and approvals in the ordinary course of our business, and our failure to obtain, renew or maintain them in a timely manner may adversely affect our operations
- The business development efforts of our Company involve considerable time and expense, and our revenues may not justify expenses incurred towards business development efforts.
- Our increasing inventory levels expose us to significant working capital, liquidity, and financial risks.
- Any breakdowns of our equipment or failures to repair or maintain equipment may adversely affect our business, cash flows, financial condition and results of operations
- Our insurance coverage may not be sufficient or may not adequately protect us against all material hazards, which could have an adverse effect on our business, results of operations, cash flow and financial condition.
- Our Promoters and Directors may have an interest in our Company other than reimbursement of expenses incurred or normal remuneration or benefits.
- If we are unable to establish and maintain an effective internal controls and compliance system, over financial reporting, our reputation could be adversely affected.
- Our ability to pay dividends in the future will depend on our earnings, financial condition, working capital requirements, capital expenditures and restrictive covenants of our financing arrangements.
- We incur significant employee benefits expense. An increase in employee costs, including on account of changes in regulations, may prevent us from maintaining our competitive advantage and may reduce our profitability.
- Our Promoters and certain members of the Promoter Group shall continue to retain significant control in our Company after the Offer, which shall allow them to influence the outcome of matters submitted to shareholders for approval. Such a concentration of ownership may also have the effect of delaying, preventing or deterring a change in control.
- Any failure or disruption of our information technology systems could adversely impact our business and operations.
- Certain sections of this Red Herring Prospectus disclose information from the ICRA Report which has been prepared exclusively for the Offer and commissioned and paid for by our Company in connection with the Offer, and any reliance on such information for making an investment decision in the Offer is subject to inherent risks.
- We may become subject to various operational, reputational, legal claims, regulatory actions or other liabilities which could have an adverse effect on our business, results of operations and financial condition.
- Our Company's management will have flexibility in utilizing the Net Proceeds, subject to certain approvals. There is no assurance that the deployment of the Net Proceeds in the manner intended by us will result in any increase in the value of your investment. Further, the funding plan has not been appraised by any bank or financial institution.
- Any variations in our funding requirements and the proposed deployment of Net Proceeds may affect our business and results of operations.
- The market value at Offer Price to total turnover and the Price/Earnings (P/E) Ratio at Offer Price of our Equity Shares may not be indicative of the future market price or our Company's actual performance.
- Our Company will not receive any proceeds from the Offer for Sale portion. The Selling Shareholders will receive the Net Proceeds from such Offer for Sale.
- We have included certain Non-GAAP Measures, industry metrics and key performance indicators related to our operations and financial performance in this Red Herring Prospectus that are subject to inherent measurement challenges. These Non-GAAP Measures, industry metrics and key performance indicators may not be comparable with financial, or industry-related statistical information of similar nomenclature computed and presented by other companies. Such supplemental financial and operational information is therefore of limited utility as an analytical tool for investors and there can be no assurance that there will not be any issues or such tools will be accurate going forward.
The Issue type of LCC Projects Ltd is Book Building.
The minimum application for shares of LCC Projects Ltd is 102.
The total shares issue of LCC Projects Ltd is 29256232.
Initial public offering of up to 29,256,232 equity shares of face value of Rs. 5 each ("Equity Shares") of LCC Projects Limited ("Company" or "Issuer") for cash at a price of Rs. 146 per equity share (including a share premium of Rs. 141 per equity share) ("Offer Price") aggregating up to Rs. 427.14 Crores (the "Offer") comprising of a fresh issue of up to 17,671,232 equity shares of face value of Rs. 5 each aggregating up to Rs. 258.00 Crores ("Fresh Issue") and an offer for sale of up to 11,585,000 equity shares of face value of Rs. 5 each ("Offered Shares") aggregating up to Rs. 169.14 Crores comprising up to 5,792,500 equity shares of face value of Rs. 5 each by Arjan Rabari aggregating up to Rs. 84.57 Crores and up to 5,792,500 equity shares of face value of Rs. 5 each by Laljibhai Arjanbhai Ahir aggregating up to Rs. 84.57 Crores (Collectively, "Selling Shareholders" and such offer for sale of equity shares by the selling shareholders, the "Offer for Sale").
The company, in consultation with the brlm, may consider a further issue of specified securities through a preferential offer or any other method as may be permitted in accordance with applicable law to any person(s), of up to [*] equity shares for an amount aggregating up to Rs. 64.00 crores, at its discretion, prior to filing of the ("Pre-ipo placement"). if the pre-ipo
placement is completed, the fresh issue size will be reduced to the extent of such pre-ipo placement, subject to the offer complying with Rule 19(2)(b) of the securities contracts (Regulation) rules, 1957, as amended ("scrr"). prior to the completion of the offer, the company.
Price Band: Rs. 146 per equity share of face value of Rs. 5 each.
The floor price 29.20 times the face value of the equity shares, respectively.
Bids can be made for a minimum of 102 equity shares of face value of Rs. 5 each and in multiples of 102 equity shares of face value of Rs. 5 each thereafter.