Sattva Engineering Construction Limited
Minimum investment
Bidding date
26 Aug - 29 Aug 2025
Price range
₹70 - ₹75
Minimum quantity
3,200
Minimum investment
₹1,12,000
Issue size
₹35.38 Cr.
IPO doc (link)
RHP docsListing exchange
NSE/BSE
Category | Subscription |
|---|---|
Qualified Institutional Buyers | 123.39x |
Retail Individual Investor | - |
Non-Institutional Investor | 351.94x |
Others | - |
Total | - |
Incorporated in December 2005, Sattva Engineering Construction Limited (SECL) is a Chennai-based Engineering, Procurement, and Construction (EPC) company. The firm specializes in water infrastructure, wastewater management, and industrial construction projects.
With more than four decades of industry experience, SECL is recognized as a Class I contractor, actively working with reputed government organizations like the Tamil Nadu Public Works Department (PWD), Chennai Metropolitan Water Supply and Sewerage Board (CMWSSB), Greater Chennai Corporation, Southern Railway, and BHEL.
The company’s services include:
Water and Wastewater Projects – Designing and constructing water distribution networks, sewage treatment plants (STP), water treatment plants (WTP), pumping stations, and underground/overhead tanks.
Industrial and Civil Infrastructure – Development of warehouses, factory buildings, container freight stations, and commercial complexes.
Residential Development – Construction of multi-storeyed apartments, deluxe housing projects, and independent bungalows.
SECL has successfully executed projects funded by global institutions such as the Asian Development Bank and the World Bank, highlighting its strong credibility in the EPC sector.
Strong Government Contracting Background: Sattva Engineering Construction has a long-standing presence as a Class I contractor for government projects, which provides it with credibility and consistent business opportunities.
Expertise in Water and Wastewater Projects: The company has developed specialized expertise in designing and constructing water supply systems, sewage treatment plants, and wastewater infrastructure, making it a key player in this growing sector.
Internationally Funded Projects: SECL has successfully executed projects supported by global financial institutions like the Asian Development Bank and the World Bank, which strengthens its reputation and financial stability.
Financial Growth and Profitability: The company has shown robust financial performance, with revenue rising by 22% and profits doubling in FY25, supported by strong EBITDA and PAT margins.
Diversified Business Portfolio: Its operations are spread across water projects, industrial infrastructure, and residential development, reducing dependence on a single segment and creating multiple revenue streams.
Dependency on Government Contracts: A significant portion of the company’s revenue depends on government-awarded projects, which can face risks of delays, policy changes, or budget constraints.
High Leverage: The company has a Debt-to-Equity ratio of 0.83, reflecting a moderate level of borrowing that could impact profitability if not managed efficiently.
Geographical Concentration: SECL’s operations are largely concentrated in Tamil Nadu, which limits nationwide expansion and exposes it to regional risks.
Promoter Shareholding Dilution: Post-IPO, promoter shareholding will be diluted, which may lead to reduced control and influence of the promoters over company decisions.
Competitive EPC Industry: The EPC sector is highly competitive with the presence of both domestic and international players, which could put pressure on margins and project bidding.
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