Bharat Road Network Limited IPO – Company Profile, Price Band, IPO Date, Analysis
Bharat Road Network Limited – a subsidiary of SREI Infrastructure Finance Limited is planning to raise Rs. 600.65 Crores via initial public offer (IPO).
Bharat Road Network Limited – Company Profile
Incorporated in the year 2006, Bharat Road Network Limited (BRNL) is a road BOT company in India, focused on development, implementation, operation, and maintenance of roads and highways projects.
Working Area
- Bharat Road involved in the development, operation, and maintenance of national and state highways in several states in India. The company is having projects in states of Haryana, Madhya Pradesh, Maharashtra, Odisha, Uttar Pradesh, and Kerala through partnerships with experienced EPC (Engineering, Procurement, and Construction) players in the local space where the project is located.
- Company offers a range of project management services, including design, engineering, and quality control, as well as engineering, processing, and construction management;
- The company offers project advisory services, such as project management consultancy, project conceptualization, commissioning, and operation and management of the projects.
- Besides this, Company also undertakes debt syndication, refinancing, and financial restructuring of its projects.
Project Profile
Company’s project portfolio consisting of 6 BOT Projects,
- Two Projects are operational under Final COD
- Three Projects are operational under Provisional COD and
- One Project is under Construction
Highway Business Highlights
- 2095 Lane KM of Highways Across India
- 6686 Crores of Road Assets Under Management
- 8 TMS Enabled Toll Plazas Under Management
Company Promoters
- SREI Infrastructure Finance Limited (SREI)
- Make in India Fund
IPO Opening / Closing Dates & Listing
IPO Details – Issue Price, Minimum Bid and Other
Financial Performance
Revenues
The Company shows steady revenue growth (huge jump in the year 2015) in recent years. Topline has been increasing regularly for the last five years and jumped from INR 3.06 crore in FY 2013 to INR 13.95 crore for the period ended November 2016.
Profits
Though the company has shown steady growth in revenue, the company fails to register profits in those five years. The Company is continuously making loss starting from INR 16.88 crore of losses in FY 2013, the company’s earnings were negative 62.73 crores for the period ended November 2016.
CONCLUSION –
Considering company’s valuation and financial parameters, FinBlab recommends AVOID ratings on Bharat Road Network Limited – BRNL IPO for the time being.
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