Highway Infrastructure Ltd IPO: Complete Overview with GMP Insight


India’s infrastructure landscape continues to expand rapidly, and Highway Infrastructure Ltd is tapping into this momentum with its upcoming IPO. The issue has already sparked interest in the market, with a strong grey market premium (GMP) and early oversubscription.

Here’s everything investors need to know about the offering:

📅 Important IPO Dates

  • IPO Window: August 5 – August 7, 2025

  • Allotment Finalization: August 8, 2025

  • Refunds & Credit of Shares: August 11, 2025

  • Listing Date (Tentative): August 12, 2025

  • Exchanges: BSE SME and NSE SME platforms

📊 IPO Details at a Glance

Feature Details
Price Band ₹65 – ₹70 per share
Lot Size 211 shares
Minimum Investment ₹13,715 (at upper price band)
Total Issue Size ₹130 crore
Fresh Issue ₹97.52 crore
Offer for Sale (OFS) ₹32.48 crore
Market Lot Category Retail, NII, QIB
Retail Quota 40% of the total issue

💸 GMP (Grey Market Premium) Update

As of August 5, 2025, the IPO is trading at a GMP of ₹40 per share. With the upper price band at ₹70, this implies an estimated listing price around ₹110, signaling a ~57% expected listing gain in the unofficial market.

⚠️ Note: GMP is unregulated and speculative. Final listing performance can vary.

📌 About the Company

Highway Infrastructure Ltd is engaged in toll operations, real estate, and EPC (Engineering, Procurement, and Construction) contracts. Since inception in 1995, the company has executed 24 toll road projects and is currently working on 7 ongoing infrastructure assignments across various Indian states.

The firm employs advanced technologies such as ANPR (Automatic Number Plate Recognition) and RFID systems for toll management, enhancing operational efficiency and reducing revenue leakages.

📈 Financial Highlights

Metric FY24 FY25 (Provisional)
Revenue ₹576.58 Cr ₹504.48 Cr
Net Profit (PAT) ₹21.41 Cr ₹22.40 Cr
EBITDA Margin Stable Slightly Improved

Although the company’s revenue has dipped slightly in FY25, profit margins have improved modestly, indicating better cost controls and higher efficiency.

📢 IPO Subscription Status (Day 1)

On Day 1, the IPO received a 3.70x subscription within the first few hours of opening, showcasing strong demand from retail and non-institutional investors. This rapid uptake highlights positive sentiment, likely influenced by its reasonable valuation and robust GMP.

✅ Why Investors Are Interested

  • Attractive Valuation: Low pricing with solid fundamentals

  • Strong GMP Movement: Premium of ₹40 signals market optimism

  • Wide Business Base: Toll, EPC, and real estate segments offer diversification

  • Tech-Driven Efficiency: Use of smart toll management systems like ANPR and RFID

  • High Retail Allocation: 40% reserved for retail investors

⚠️ Key Risks & Considerations

  • Revenue Dip in FY25: A year-on-year decline may raise concerns

  • GMP Volatility: Grey market sentiments are not guaranteed indicators of listing success

  • Execution Challenges: Delays or regulatory issues in infrastructure projects could affect operations

  • Limited Liquidity: As an SME IPO, trading volume might be lower post-listing

📌 Final Verdict

The Highway Infrastructure IPO stands out as a potential opportunity for investors looking for exposure to India’s road and infrastructure development sector. With a moderate size, strong subscription numbers, and a GMP of ₹40, early signs point to a positive listing.

However, like any investment, it’s crucial to evaluate the company’s financial stability and risk factors beyond just the grey market buzz. Investors should consider their individual goals and consult a financial expert before making any decisions.

Disclaimer: This content is for informational purposes only and should not be taken as investment advice. Always consult a certified financial advisor before investing in the stock market.

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