Concord Enviro Systems Debut at 18% Premium

27 Dec 2024 , 09:51 AM

The shares of Concord Enviro Systems listed at a premium of 18%.  The shares get listed on NSE at ₹826, 17.83% higher from the issue price of ₹500 and at ₹832 on BSE, 18.69% higher.

Mumbai-based Concord Enviro Systems raised ₹500 crore via its IPO, which closed on December 23 with a 10.67x subscription. The price range was ₹480-500 per share. The IPO included a fresh issue worth ₹175 crore and an offer-for-sale of ₹325.3 crore. Funds from the fresh issue will support a greenfield project in the UAE, a brownfield expansion in Vasai, debt repayment, and working capital requirements.

Concord Enviro Systems posted a 655.2% year-on-year jump in net profit to ₹41.4 crore for FY24. However, profitability in FY23 was inconsistent, with a 66.7% drop compared to FY22. Revenue increased by 44.8% to ₹497 crore in FY24. Despite this growth, fluctuating profits and weak operating cash flow highlight the need for caution. The company’s UAE and Vasai expansions aim to boost its global presence and operational efficiency.