Issue Price: Rs. 450

Listing Strategy:  HOLD  ( Punters can ride the momentum)

An unexecuted order-book of Rs 28,775 million, diversified railway and road projects, satisfactory execution track record and seemingly fairer valuations made the offer reasonable. This was further reflected in the strong appetite for the shares at the time of issue across all segments. Notably, the issue was subscribed more than 47 times.

The significant over subscription of the issue, indicates the high risk appetite of the investors. Considering such an over-subscription momentum and the improved market sentiment post-Budget, a listing pop appears likely.

Punters can consider riding the momentum with readiness to dismount as soon as a retracement commences. 

Background Note:

ARSS Infrastructure Projects (AIPL) is engaged in the construction activities mostly provided for railway infrastructure, roads & highways and irrigation projects and has completed around 200 km rail line and about 300 km of roads and highways. Geographically concentrated in the Eastern India, particularly in the state of Orissa, the company has pursued opportunities in other parts of India such as Tamil Nadu, Rajasthan, Jharkhand, Chattisgarh amongst others. In the past, the company has also entered into joint ventures with players such as Kalindee Rail and Patel Engineering to execute projects.