Kay Cee Energy and Infra Limited provides services for the construction and commissioning of electricity transmission and distribution systems. The company undertakes engineering, procurement and construction (EPC) projects for government entities such as Rajasthan Rajya Vidyut Prasaran Nigam Limited (“RRVPNL”).
The company’s service portfolio includes handling, erection, testing and commissioning of equipment and materials for power transmission and distribution systems, including transmission lines, construction of substations, automation, extension/modification and expansion of existing power systems.
IPO Review
| Parameters | Score (0-5) | Comments |
|---|---|---|
| Promotors/Sr. Management & Work Ethics | 4 | Well experienced promotors. No red flags as per the RHP – litigations, open criminal proceedings, tax proceedings, etc. |
| Company Financials | 2 | Inconsistent numbers. High debt component. |
| Segment Growth Opportunity | 4 | Power and Infra is going to be the key focus of Indian government in coming years, hence this sector is expected to grow. |
| Asking Valuation (compared with Peers) | 4 | Asking PE is ~12x, peers in the range of 14-25x. |
| Lead Manager’s past performance | 4 | Avg ~63% listing day gain for past 16 IPOs. |
| Consolidated Score | 3.7 |
Disclaimer – This is not an investment advice. Nobody has paid us to write this review. This analysis is for education purposes only.
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