Shivalaya Construction files draft papers with Sebi; seeks to raise Rs 450 cr via fresh issue

Shivalaya Construction has filed preliminary papers with markets regulator Sebi for raising funds through an initial public offering to pare its debt.

The proposed IPO is a combination of a fresh issue of shares worth Rs 450 crore and an offer-for-sale (OFS) of 2.48 crore shares by promoters, according to the draft red herring prospectus (DRHP).

Of the fresh issuance, funds to the tune of Rs 340 crore will be used to pay debt, and the remaining funds will be utilised for general corporate purposes.

The company, in its draft papers filed on Friday, stated it had total borrowings of Rs 3,048 crore as of March 2025.

The Delhi-based company may consider a pre-IPO placement aggregating up to Rs 90 crore. If this is undertaken, the fresh issue size will be reduced accordingly.

Incorporated in 2007, Shivalaya Construction is an integrated infrastructure engineering, procurement and construction player with a focus on roads, highways and bridges. It executed 41 projects as of July 31, 2025, across 19 states and union territories.

The company has more than 25 years of experience in the construction, development and maintenance of roads and highways, which includes specialised structures such as elevated roads, flyovers, bridges and railway over bridges.

As of July 31, 2025, the company has constructed over 2,700 lane kms of roads and highways and has executed projects ranging from 14 lane kms to 210 lane kms and has over 1,500 lane kms of ongoing projects. Its order book comprised 14 projects aggregating up to Rs 3,627 crore, as of July 31, 2025.

The company's consolidated revenue from operations was at Rs 3,124 crore during fiscal 2025.

To assist the public offering, the company has roped in IIFL Capital, Axis Capital and JM Financial as lead managers.