Mumbai: PSP Projects Ltd, an Ahmedabad-based construction company, on Tuesday said it will launch its initial public offering on 17 May.

A price band of Rs205-210 per share has been set for the initial share sale. The offering, which will close on 19 May, comprises a fresh issue of shares and an offer for sale by the promoters of the company.

PSP Projects will sell as many as 10.08 million shares, which at the upper end of the price band will fetch the company and its promoters a total of Rs211.6 crore, including a primary fund raise of Rs151 crore.

The company plans to use the IPO proceeds to fund working capital and capital expenditure requirements and for general corporate purposes.

Karvy Investor Services Ltd and Motilal Oswal Investment Advisors Ltd are managing the initial share sale.

PSP Projects reported revenue of Rs467.7 crore for the year ended 31 March 2016, as compared with Rs286.9 crore in the previous year. It posted a profit of Rs24.9 crore for FY 2015-16, as against Rs14 crore in the previous year. For the nine months ended 31 December, the company posted revenue of Rs249.4 crore.

PSP Projects offers a range of construction and allied services across industrial, institutional, government and residential projects in India. The services offered include planning and design as well as construction and post-construction activities. Since its incorporation in August 2008, the company has executed 80 projects.

Gujarat has been the company’s focus region, though it has recently started bidding for projects across India.

Some of the major projects handled by PSP Projects include the construction of GCS Medical College, Hospital and Research Centre (managed by the Gujarat Cancer Society) and the Zydus Hospital at Ahmedabad, and various works in relation to the Sabarmati Riverfront Development project at Ahmedabad.

PSP Projects’s client list includes Cadila Healthcare Ltd, Care Institute of Medical Sciences Ltd (CIMS), Claris Injectables Ltd, Emcure Pharmaceuticals Ltd, Gelco Electronics Pvt Ltd, government of Gujarat, Intas Pharmaceutical Ltd, Amul Dairy, Nirma Ltd and Torrent Pharmaceuticals Ltd.

The company’s total order book, as of 31 March, stood at Rs729.1 crore, comprising 17 institutional projects, four industrial, four government and two government residential projects.

So far this year, six companies have raised ₹ 4,908.45 crore through the IPO route, according to data from primary market tracker Prime Database. In 2016, 26 companies raised ₹ 6,493.84 crore through IPOs.

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