Denta Water and Infra Solutions Ltd.’s Rs 220.5-crore initial public offering is scheduled to open on Jan. 22. The three-day IPO comprises an entirely fresh issue of shares, with no offer-for-sale component, according to the red herring prospectus.

The price band has been set in the range of 279 to Rs 294 per share. Investors can bid for a minimum of 50 equity shares, and in multiples of 50 shares thereafter.

The proceeds from the issue, to the extent of Rs 150 crore, will be utilised for meeting working capital requirements and for general corporate purpose, subject to the applicable laws.

SMC Capitals Ltd. is the sole book-running lead manager, and Integrated Registry Management Services Pvt. is the registrar for the issue.

Following the IPO, the equity shares are proposed to be listed on the BSE and the National Stock Exchange.

Denta Water And Infra Solutions IPO Details

  • Issue opens: Jan. 22

  • Issue closes: Jan. 24

  • Price band: Rs 279–294 per share

  • Fresh issue size: Rs 220.5 crore

  • Total issue size: Rs 220.5 crore

  • Market value at upper end of price band: Rs 785 crore

  • Lot size: 35 shares

Business

Established in 2016, Denta Water and Infra Solutions is one of the players in the field of water engineering, procurement, and construction services.

The company’s notable achievements include the execution of several lift irrigation system projects, including Byrapura and Hiremagaluru LIS project, Karagada LIS project, and others.

The firm has significant involvement in the Jal Jeevan Mission of the Government of India, under which it was awarded three projects — ‘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.

Denta Water has completed 32 water management projects, out of which 11 projects were executed by it as the main contractor, one project was undertaken under a consortium, or joint venture arrangement, and 20 projects were undertaken under a sub-contract arrangement with the main contractor.

Use of Proceeds

The company aims to utilise the net proceeds raised through the IPO for the following purposes:

  • To meet working capital requirements

  • General corporate purposes

Key Financials

Denta Water And Infra Solutions IPO: Key Risks

  • Certain untraceable persons have filed complaints with SEBI and other authorities against the company and its promoter, C Mruthyunjaya Swamy, with allegations including indulging in corrupt practices.

  • Revenue contribution from government clients has increased from 18.25% in fiscal 2023 to 63.4% as of fiscal 2024.

  • The company relies heavily on the government of Karnataka for its business. A total of 83.98% of revenue from operations in the first half of fiscal 2025 came from the state government.

  • Delays in completion of current and future projects, and time overrun could have adverse effect on business prospects and results of operations.

Denta Water And Infra IPO GMP

Denta Water IPO GMP stood at Rs 165 per share at 5:04 a.m. on Jan. 22, according to InvestorGain. This implies a listing gain of 56.12% over the upper end of the price band. As per the latest GMP, the projected listing price of the shares is expected to be Rs 459 apiece.

Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read red herring prospectus thoroughly before placing bids.

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