Denta Water and Infra Solutions Limited, has emerged as one of the key players in the field of water EPC services
MUMBAI, Jan 25 (The CONNECT) – The Initial Public Offering of Denta Water and Infra Solutions was subscribed 221.52 times at the end of the bidding yesterday.
The issue received bids of 1,16,29,72,500 shares against the offered 52,50,000 equity shares, at a price band of ₹279-294, according to the data available on the stock exchanges.
Non-Institutional Investors Portion and Retail Portion were subscribed 507.05 times and 90.34 times respectively, whereas Qualified Institutional Buyer Portion was subscribed 236.94 times.
Leading brokerage firms like Anand Rathi, KR Choksey, SBI Securities, BP Equities, Ventura Securities, SMIFS, Arihant Capital, Canara Bank Securities, Master Trust Capital, Eureka Securities, Geojit Financial Services, Marwadi Financial Service, GEP Capital, Adroit Financial Service, Indsec Securities have given a “Subscribe” rating to the issue highlighting the company’s robust financial performance, attractive valuation, and strategic positioning in the growing water management sector.
The company is valued at an FY24 P/E multiple of 9.5x to 16.2x and an EV/EBITDA multiple of 9.8x at the upper price band of ₹294, which is competitive compared to peers trading at 30-35x P/E for FY25. Over FY22-FY24, the company achieved a strong CAGR of 41.3% in revenue, 23.6% in EBITDA, and 24.8% in PAT, while maintaining industry-leading EBITDA margins of 33-43%.
SMC Capitals Limited is the sole book-running lead manager for the Issue and Integrated Registry Management Services Private Limited is the registrar.
Established in 2016, Denta Water and Infra Solutions Limited, commonly known as “Denta Water,” has emerged as one of the key players in the field of water engineering, procurement, and construction (EPC) services. It has contributed to addressing the rising demand for water-related solutions in the country, with a meritorious track record in infrastructure project installations, including groundwater recharging through recycled water.
The company’s notable achievements include the Byrapura and Hiremagaluru LIS Project, Karagada LIS Project, and others, primarily executed through lift irrigation systems. It has significant involvement in the “Jal Jeevan Mission” of the Government of India reflects its commitment to critical water management initiatives, under which it was awarded three projects i.e.“Kerehalli Drinking Water Project” and “Chikkabenakal Drinking Water Project” and Rehabilitation of MVS to Doddakowlande and other 55 Villages of Nanjangud Taluk which are located in the State of Karnataka.
