The IPO market remains robust in August 2025, with several high-profile offerings lined up across the engineering and construction sectors. Riding this momentum, Sattva Engineering Construction Limited, a Chennai-based engineering, procurement, and construction (EPC) company, has opened its IPO on August 26, 2025.
Here is a detailed insight into the Sattva Engineering Construction IPO details and the industry outlook.
About Sattva Engineering Construction Ltd.
Founded in December 2005, Sattva Engineering Construction Limited (SECL) is a Chennai-based EPC company specialising in water infrastructure, wastewater management, and industrial construction projects. With over 40 years of experience, SECL collaborates with key government bodies like the Tamil Nadu Public Works Department and the Chennai Metropolitan Water Supply and Sewerage Board.
SECL offers comprehensive EPC solutions in water and wastewater projects, industrial infrastructure, and residential development. Notable clients include CMWSSB, PWD, Greater Chennai Corporation, and BHEL.
The company’s competitive strengths include strong execution capabilities, the use of advanced technology in water treatment projects, and a diverse order book. SECL also benefits from funding by international financial institutions like the Asian Development Bank and World Bank, with a highly experienced management team steering its growth.
Sattva Engineering Construction Ltd. IPO Details
The Sattva Engineering Construction IPO is a book-building issue of ₹35.38 crore. The entire issue is a fresh issue of 47.16 lakh shares. The proceeds will be used for funding long-term working capital requirements and for general corporate purposes.
Important IPO Timeline
| Event | Date |
| IPO Open Date | Tue, Aug 26, 2025 |
| IPO Close Date | Fri, Aug 29, 2025 |
| Tentative Allotment | Mon, Sep 1, 2025 |
| Initiation of Refunds | Tue, Sep 2, 2025 |
| Credit of Shares to Demat | Tue, Sep 2, 2025 |
| Tentative Listing Date | Wed, Sep 3, 2025 |
| Cut-off time for UPI mandate confirmation | 5 PM on August 29, 2025 |
Key IPO Details
| Particulars | Details |
| IPO Date | August 26, 2025 to August 29, 2025 |
| Listing Date | – |
| Face Value | ₹10 per share |
| Issue Price Band | ₹70 to ₹75 per share |
| Lot Size | 1,600 Shares |
| Sale Type | Fresh Capital |
| Total Issue Size | 47,16,800 shares (aggregating up to ₹35.38 Cr) |
| Reserved for Market Maker | 2,40,000 shares (aggregating up to ₹1.80 Cr) |
| Market Maker | Rikhav Securities Ltd. |
| Net Offered to Public | 44,76,800 shares (aggregating up to ₹33.58 Cr) |
| Issue Type | Bookbuilding IPO |
| Listing At | NSE SME |
| Share Holding Pre Issue | 1,27,51,816 shares |
| Share Holding Post Issue | 1,74,68,616 shares |
Lot Size of Sattva Engineering Construction Ltd. IPO
| Application | Lots | Shares | Amount |
| Individual investors (Retail) (Min) | 2 | 3,200 | ₹2,40,000 |
| Individual investors (Retail) (Max) | 2 | 3,200 | ₹2,40,000 |
| S-HNI (Min) | 3 | 4,800 | ₹3,60,000 |
| S-HNI (Max) | 8 | 12,800 | ₹9,60,000 |
| B-HNI (Min) | 9 | 14,400 | ₹10,80,000 |
Sattva Engineering Construction Ltd. Financials
Sattva Engineering Construction Ltd. has demonstrated significant financial growth, with a strong performance in key metrics such as revenue and profit. As the company prepares for its IPO, it is valued at a market capitalisation of ₹131.01 crore at the upper end of the price band.
Key Performance Indicators (as of Mar 31, 2025)
- Return on Equity (ROE): 27.10%
- Return on Capital Employed (ROCE): 28.58%
- Debt/Equity: 0.83
- Price-to-Book Value: 2.19
- Pre-IPO P/E: 9.16 to 9.82
Company Financial Snapshot
| Period Ended | 31 Mar 2025 (₹ Cr) | 31 Mar 2024 (₹ Cr) | 31 Mar 2023 (₹ Cr) |
| Assets | 114.82 | 87 | 83.38 |
| Total Income | 94.85 | 77 | 83.93 |
| Profit After Tax | 9.14 | 5 | 1.04 |
| EBITDA | 18.56 | 12 | 7.28 |
| Net Worth | 43.42 | 24 | 19.47 |
| Reserves and Surplus | 30.67 | 23.03 | 18.47 |
| Total Borrowing | 36.17 | 32.2 | 32.24 |
Sattva Engineering Construction Ltd.: Industry Outlook
The infrastructure and civil engineering sector in India is experiencing strong growth, driven by government initiatives and public sector projects. Sattva Engineering, with its focus on government contracts and water-related infrastructure, is well-positioned to capitalise on this demand. The company’s established track record and robust order book provide a solid foundation for future expansion.
However, investors should be aware of potential risks such as high dependence on government projects, which can lead to payment delays, and competition from both domestic and international players.
Use of IPO Proceeds
The net proceeds from the fresh issue will be utilised for:
| S.No. | Objects of the Issue | Expected Amount (₹ Cr) |
| 1 | To finance long-term working capital needs | 275 |
| 2 | For general corporate purposes | – |
Sattva Engineering Construction IPO Peer Comparison
The civil engineering sector is highly competitive. Sattva Engineering’s key listed peers include EMS Limited, Enviro Infra Engineers Limited, VA Tech Wabag Limited, Larsen & Toubro Limited, Shapoorji Pallonji & Co. Ltd., and AFCONS Infrastructure Limited. When evaluating the Sattva Engineering Construction IPO, investors should consider its market positioning, growth potential, and strategic plans in relation to these peers, including factors such as project diversification, scalability, and financial health.
Conclusion
The Sattva Engineering Construction IPO offers investors an opportunity to invest in a company with a strong market presence and a robust growth trajectory in the infrastructure sector. The company’s healthy financial performance and strategic use of IPO funds for working capital needs suggest a positive long-term outlook.
As an SME IPO, it carries a certain level of risk and may be suitable for investors with a moderate to high-risk appetite and a long-term investment horizon. A thorough review of the company’s financials and market position is recommended before making an investment decision.
