Business Desk – Annu Projects IPO Listing: Shares of Annu Projects, which provides EPC services for telecom infrastructure to gas pipeline and sewerage projects, had a weak start in the domestic stock market today. The shares issued in the IPO at a price of Rs 99 were listed at Rs 75 on BSE and Rs 72 on NSE. That means investors on NSE suffered a direct loss of about 27%. Those who invested money in IPO had to face huge losses on the very first day instead of listing gains.
Share recovered after listing
After weak listing, buying in Annu Projects shares returned. During trading, the stock rose to the upper circuit of Rs 75.60 on NSE. However, even after reaching this level, IPO investors are about 23.64% below their issue price.
The weak listing of the company has happened at a time when there was pressure in the domestic stock market also. Sensex fell by more than 800 points in early trading, while Nifty slipped below 23,800. The effect of weak sentiment in the market was also visible on this newly listed stock.
IPO was worth Rs 175 crore
Annu Projects' Rs 175 crore IPO was open for subscription from August 25 to 28. The company's IPO received a good response from investors and it was subscribed 2.93 times overall.
In this, the share of Qualified Institutional Buyers i.e. QIB was filled 1.72 times on ex-anchor basis. The share of Non-Institutional Investors i.e. NII was subscribed 3.55 times and the share of retail investors was subscribed 2.68 times.
The company has issued a total of 1,76,83,000 new shares with a face value of Rs 10 under the IPO. That means the entire amount in this issue has been raised through fresh issue.
Where will the money received from IPO be used?
The company will invest a major part of the amount raised from the IPO in the needs related to running and expansion of its business. In this, Rs 15.41 crore will be spent on purchasing machinery and equipment.
Apart from this, the company has kept Rs 115 crore for working capital requirements. About Rs 24.16 crore will be used for general corporate purposes, while Rs 20.49 crore will be spent on IPO-related expenses.
Keeping such a huge amount for working capital shows the need of the company's current business. In EPC companies, the requirement of working capital is very important till the completion of the project.
What does Annu Projects do?
Annu Projects is an EPC i.e. Engineering, Procurement and Construction company. Its business is mainly related to Telecom Infrastructure, Sewerage Infrastructure and Gas Pipeline. The company is also working on projects related to railway signaling.
As of June 2026, the company had 23 ongoing projects worth about Rs 1,959.35 crore. These included 4 Telecom Infrastructure, 14 Sewerage, 4 Gas Pipeline and 1 Railway Signaling Project.
This indicates that the company has strong order book visibility for future earnings. However, in the EPC business, project completion capability, cost control and timely payment are equally important.
Profit and income increased continuously
The financial performance of the company has also seen improvement in the last few years. Between the financial year 2024 and 2026, the company's net profit increased at the rate of about 38% CAGR to Rs 33.03 crore.
During the same period, the total income of the company increased at the rate of CAGR of more than 25% to Rs 244.59 crore. That means good growth has been recorded in both business and profits. At the end of March 2026, the company had a total debt of about Rs 52.54 crore. Whereas reserves and surplus were around Rs 107.45 crore.
In such a situation, there is growth in the fundamentals of the company, but the weak listing of the IPO shows that the current market sentiment and valuation has put pressure on the stock. Now investors will keep an eye on the company's upcoming quarterly results, new orders and execution.
