India’s infrastructure sector is in the midst of a historic transformation, with a strong push from the government to modernise and expand its national highway network. This strong environment sets the stage for companies like Highway Infrastructure Ltd., which is launching its mainboard IPO on August 5, 2025. The issue, which is a combination of a fresh issue and an offer for sale, is set to raise approximately ₹130 crores. This IPO provides investors a unique opportunity to participate in a company with a diversified business model and a strong foothold in India’s infrastructure development story.
This article provides a comprehensive overview of the Highway Infrastructure IPO details, offering key insights for potential investors.
About Highway Infrastructure Ltd.
Highway Infrastructure Limited (HIL), an Indian infrastructure development and management company incorporated in 1995, specialises in tollway collection, EPC (Engineering, Procurement, and Construction) projects, and real estate development.
The company has a strong presence in the construction and maintenance of roads, highways, and bridges. HIL’s tollway collection business operates across 11 states and one Union Territory, utilising advanced ANPR (Automatic Number Plate Recognition) technology and an updated Electronic Toll Collection (ETC) system for seamless payments. As of August 31, 2024, the company has completed 24 tollway projects and is operating 7 more.
In the EPC Infra segment, HIL leverages in-house resources to manage projects from start to finish, with a portfolio that includes roads, bridges, tanks, and irrigation-related construction. The company has completed 63 EPC projects and has 20 currently underway in cities like Indore, Ratlam, and Khandwa in Madhya Pradesh. HIL’s real estate segment, though the smallest, focuses on developing and selling commercial and residential properties, including gated communities. The company employs 398 individuals across its various business segments.
Highway Infrastructure Ltd. IPO Details
The Highway Infrastructure IPO is a book-building issue of ₹130.00 crores. The issue comprises a fresh issue of 1.39 crore shares (aggregating ₹97.52 Cr) and an Offer for Sale (OFS) of 46.40 lakh shares (aggregating ₹32.48 Cr). The price band is set at ₹65 to ₹70 per share, with a face value of ₹5 per share. The shares will be listed on both the BSE and NSE.
Important IPO Timeline:
| Event | Date |
| IPO Open Date | Tue, Aug 5, 2025 |
| IPO Close Date | Thu, Aug 7, 2025 |
| Tentative Allotment | Fri, Aug 8, 2025 |
| Initiation of Refunds | Mon, Aug 11, 2025 |
| Credit of Shares to Demat | Mon, Aug 11, 2025 |
| Tentative Listing Date | Tue, Aug 12, 2025 |
| Cut-off time for UPI mandate confirmation | 5 PM on Aug 7, 2025 |
Key IPO Details
| Event | Details |
| IPO Date | August 5, 2025 to August 7, 2025 |
| Listing Date | – |
| Face Value | ₹5 per share |
| Issue Price Band | ₹65 to ₹70 per share |
| Lot Size | 211 Shares |
| Sale Type | Fresh Capital-cum-Offer for Sale |
| Total Issue Size | 1,85,71,428 shares (aggregating up to ₹130.00 Cr) |
| Fresh Issue | 1,39,31,428 shares (aggregating up to ₹97.52 Cr) |
| Offer for Sale | 46,40,000 shares of ₹5 (aggregating up to ₹32.48 Cr) |
| Issue Type | Bookbuilding IPO |
| Listing At | BSE, NSE |
| Shareholding (Pre-Issue) | 5,77,89,204 shares |
| Shareholding (Post-Issue) | 7,17,20,632 shares |
Highway Infrastructure Financial Performance
Highway Infrastructure has a history of consistent profitability despite fluctuating revenues. While total income saw a decline from ₹576.58 crores in FY24 to ₹504.48 crores in FY25, the company’s Profit After Tax (PAT) grew by 5% in the same period, reaching ₹22.40 crores. This demonstrates the company’s ability to manage costs effectively and maintain profitability. The company’s Net Worth has also shown steady growth, reflecting a strong balance sheet.
Key Performance Indicators (as of Mar 31, 2025)
- Return on Net Worth (RoNW): 19.03%
- PAT Margin: 4.44%
- Debt-to-Equity Ratio: 0.61
- Price to Book Value: 3.44
- Market Capitalisation: ₹502.04 Cr
Financial Snapshot (₹ in crores)
| Period Ended | 31 Mar 2025 | 31 Mar 2024 | 31 Mar 2023 |
| Assets | 231.56 | 203 | 156.59 |
| Total Income | 504.48 | 577 | 456.83 |
| Profit After Tax | 22.4 | 21 | 13.8 |
| EBITDA | 31.32 | 38 | 27.69 |
| Net Worth | 117.72 | 100 | 74.81 |
| Reserves and Surplus | 83.9 | 83 | 64.44 |
| Total Borrowing | 71.82 | 69.62 | 63.36 |
Highway Infrastructure Ltd.: Industry Outlook
The road and highway infrastructure sector is a cornerstone of India’s economic development and is set for continued growth due to several key factors:
- Massive Government Investment: The government has outlined a comprehensive investment plan to build new expressways, high-speed corridors, and urban bypasses, with significant projects like Bharatmala Pariyojana driving demand.
- Favourable Policy Environment: Initiatives like the PM Gati Shakti National Master Plan are designed to enhance logistics efficiency and project execution by integrating various infrastructure ministries.
- Technological Adoption: The increased use of smart technologies like Electronic Toll Collection (ETC) and advanced project management tools is streamlining operations and improving efficiency.
- Growing Private Sector Participation: The Hybrid Annuity Model (HAM) and other Public-Private Partnership (PPP) frameworks are attracting private players, allowing them to participate in high-value projects while sharing risks with the government.
- Future Diversification: The Ministry of Road Transport and Highways is encouraging the development of wayside amenities (like fuel stations, EV charging, and rest stops) on private land, opening new avenues for growth for infrastructure companies.
Use of IPO Proceeds
The net proceeds from the fresh issue component of the Highway Infrastructure IPO are primarily intended for:
| S.No. | Objects of the Issue | Expected Amount
(₹ in crores) |
| 1 | Funding working capital requirements of the company | 65 |
| 2 | General corporate purposes | Not Provided |
Highway Infrastructure Ltd. IPO Peer Comparison
Highway Infrastructure operates in a dynamic and competitive market. Key listed peers in the broader infrastructure sector include established players like IRB Infrastructure Developers Limited and H.G. Infra Engineering Limited. Analysing the performance of these companies can provide investors with a valuable benchmark to assess Highway Infrastructure’s market position, operational strengths, and valuation within the industry.
Conclusion
The upcoming Highway Infrastructure IPO offers a compelling investment opportunity for those interested in India’s rapidly expanding infrastructure sector. With a diversified business model spanning tolling, EPC, and real estate, a strong project pipeline, and a healthy financial position, the company is well-equipped to benefit from the country’s infrastructure boom. This IPO presents a chance to invest in a company that is not only a key player in the development of critical national assets but also strategically positioned for future growth through technological adoption and diversification. Potential investors are advised to conduct their own due diligence and consider the company’s business model, financial health, and the broader industry landscape before making a decision.
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