Vikran Engineering listed at ₹99–₹99.70, just 3% above issue price.
Strong demand and anchor investors, but gains in line with muted GMP.
Vikran's ₹5,120-crore order book, rising margins, asset-light model turn analysts bullish over long-term strength.
Shares of Vikran Engineering made a lukewarm debut on the bourses on September 3, listing at ₹99.70 on the BSE, marking a premium of just 3% over the issue price of ₹97. On the NSE, the stock listed at ₹99.
Despite the muted listing, the performance underwhelmed investors as the tone set by the grey market suggested a listing with around 7% premium, similar to what it commanded in the unlisted space.
The ₹772-crore initial public offering, open between August 26-29, was priced in the ₹92–97 band. It comprised a fresh issue of ₹721 crore and an offer-for-sale worth ₹51 crore by the promoters. Of the fresh proceeds, ₹541 crore will be channelled into working capital requirements, with the balance earmarked for general corporate purposes.
The public issue of Vikran Engineering drew strong investor response, with an overall subscription of 23.59 times. Non-institutional investors (NIIs) led the charge, subscribing the portion set aside for the category 58.58 times. The Qualified Institutional Buyers (QIBs) segment followed with 19.45 times subscription, receiving 32.64 crore bids for 1.68 crore shares. Retail investors also showed robust participation, with their portion subscribed 10.97 times.
Ahead of its debut, Vikran had already raised ₹231.6 crore from anchor investors, drawing in a wide roster that included Bank of India Mutual Fund, ITI MF, Samco MF, SBI General Insurance, IMAP India, Bengal Finance & Investment, VPK Global, and Societe Generale. The company had also secured backing from The Wealth Company and marquee investors Ashish Kacholia and Mukul Aggarwal in a pre-IPO placement.
Founded as a fast-growing engineering, procurement and construction (EPC) business headquartered in Mumbai, Vikran provides end-to-end services from conceptualisation and design to supply, installation, testing and commissioning. As of 30 June 2025, it had completed 45 projects across 14 states, with a cumulative executed value of ₹1,920 crore. Its current order book stands at 44 projects worth ₹5,120 crore.
Financially, the company has delivered steady growth. Revenue from operations rose 16.5% year-on-year to ₹916 crore in FY25, while profit after tax moved up 4% to ₹78 crore. Over FY23–FY25, revenue grew at a 32% CAGR, nearly doubling from ₹524 crore, with profit after tax also doubling in the same period. Ebitda margins expanded to 17.5% in FY25, the strongest among its peers, with PAT margins at 8.4%.
Analysts stated that Vikran’s asset-light model, built on leased equipment, has allowed it to scale without bloating its balance sheet. Combined with its experienced promoters, in-house engineering capabilities and pan-India execution track record, the company is seen as well-positioned for growth though investors may have to wait beyond the listing day pop to see meaningful returns.
Swastika Investmart, on the other hand, suggested that investors could look at the IPO both for potential listing gains as well as for long-term investment opportunities.
