Aarvee Engineering to Launch IPO with ₹202.5 Crore Fresh Issue and 67.5 Lakh Share OFS

Hyderabad, Sep 26, 2025: Aarvee Engineering Consultants Limited has announced that it has filed its Draft Red Herring Prospectus with the Securities and Exchange Board of India (SEBI). The IPO will include a fresh issue of ₹202.5 crore and an offer for sale of up to 67.5 lakh equity shares by promoter Venkatachala Chakrapani Redla. The company has reserved 5% of post-offer equity for its employees. It has also appointed Centrum Capital, and Ambit Private Limited as the book running lead managers and KFin Technologies Limited as the registrar for the issue. The shares are proposed to be listed on NSE and BSE.

Aarvee Engineering Consultants Limited is an infrastructure consultancy company that provides its services to fields such as railways, irrigation, bridges, roads, etc. Until now, the company has executed projects in India and in 20 other countries worldwide. The company was established in 1989, and is headquartered in Hyderabad, Telangana, India.

Aarvee Engineering IPO Repayment and Prepayment Main Fundraising Motive

The company will use ₹76 crore from the IPO proceeds to repay and prepay certain borrowings. It will use ₹21.97 crore for investing in SRA OSS India, ₹34.81 crore for investing in Aarvee Engineering Consultants Pty Ltd (Australia), ₹20.88 crore for investing in Aarvee Associates Limited (UK). The balance amount will be used for general corporate purposes.

Aarvee Engineering IPO Revenue at ₹567.13 Crore While PAT at ₹51.59 Crore

In FY25, the company’s revenue from operations stood at ₹567.13 crore, while its profit after tax was ₹51.59 crore. The total income came at ₹574.31 crore, while the year-end total borriwngs for FY25 was ₹56.56 crore. EPS (Basic and Dilluted) was ₹12.28 for the same period. Aarvee’s order book stood at ₹2,274.87 crore as of June 30, 2025. This included nearly 50% contribution from Railways & Metro projects. The company earned about 96% of its FY25 revenue from government and related entities, and 12.5% from overseas projects.

REF: https://nsearchives.nseindia.com/corporate/Registration_26092025023744_AarveeDRHP.pdf

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