Urban Enviro Waste Management is a company engaged in Indian MSW (Municipal Solid Waste) management industry providing MSW services which include solid waste collection, transportation, segregation of waste and processing and disposal services across the Cities in Gujarat, Rajasthan, Madhya Pradesh and Maharashtra, primarily catering to local municipalities.
The company partners with different local bodies and serves to manage and reduce waste at each stage from collection to disposal. Urban Enviro Waste Management’s “Solid Waste” business is operated and managed locally that provides collection, transfer, and disposal services. It also carries on the business of providing manpower like staff, workers, labours skilled/unskilled required by various industries and organisations. The opening date for Urban Enviro Waste Management IPO is Monday, 12 June 2023 and the closing date is Wednesday, 14 June 2023.
Urban Enviro Waste Management Limited IPO Details
Investors can bid for the Urban Enviro Waste Management Limited IPO, which is a 100% fresh issue of up to 9,20,000 equity shares with the face value of ₹10 each. Additionally, the offer has its price set at ₹100 per share and the lot size is 1200. The IPO will list on the NSE.
Urban Enviro Waste Management Limited IPO Objective >
The objectives of Spectrum Talent IPO are listed below:
Should you invest in Urban Enviro Waste Management Limited?
Here are a few important factors to consider before investing in the IPO:
- Repayment of certain secured borrowings (including accrued interest and foreclosure charges, if any) in full availed by the company.
- Funding the working capital requirements.
- General corporate purposes.
Competitive Peers
Antony Waste Handling Cell Limited is a peer company listed in India engaged in the same business line. Considering the nature, range of products/services, turnover, and size of the business of the company, the peer is not strictly comparable.
Highlights of Urban Enviro Waste Management Ltd
- Urban Enviro Waste Management is primarily engaged in the execution of Collection & Transport initiatives as well as MSW processing endeavors. To date, the company has successfully has 39 ongoing projects as on May 26, 2023 comprising of MSW projects, MSW processing project and sweeping project.
- The company is currently undertaking projects for Saoner Municipal Council, Mul Municipal Corporation, Jaipur Nagar Nigam, Deori Municipal Council, Bahulgaon Municipal Council, Gadchandur Municipal Council, Nagpur Municipal Corporation (“NMC”), Jaipur Municipal Corporation (“JMC”), Vadodara Municipal Corporation, Ahmedabad Municipal Corporation and Ankleshwar Nagarpalika.
Company Financials
| Particulars | 9 months period ended on December 31, 2022 (₹ lakhs) | As of March 31, 2022 (₹ lakhs) |
|---|---|---|
| Revenue from Operations | 2,629.96 | 1,969.01 |
| Profit After Tax (PAT) | 106.42 | 129.35 |
| Net Profit Margin | 4.05% | 6.57% |
| EBITDA | 493.19 | 341.35 |
| EBITDA Margin | 18.75% | 17.34% |
| Debt / Equity | 2.86 | 3.84 |
Know before investing
Strengths
2In the industry, the number, size and duration, of simultaneously ongoing projects is considered an indicator of future performance since they provide an indication of anticipated future revenue. Urban Enviro has a portfolio of 39 ongoing projects as on May 26, 2023 comprised MSW projects, MSW processing project and sweeping project.
Currently the company has presence particularly in Gujarat, Madhya Pradesh, Maharashtra and Rajasthan. It aims to deepen its penetration in existing markets and increase the company’s presence by expanding services to new states. As a business strategy, Urban Enviro intends to expand its footprint in Tier-2 cities and Tier-3 cities as there are untapped opportunities in these cities for the company to grow its business operations.
Risks
2The company is dependent on municipal authorities for a significant proportion of its business and revenue from operations. The loss of any of its key work orders or projects could have a material adverse effect on Urban Enviro’s business, results of operations, financial condition and cash flows.
UEWM has a significant working capital requirement. If the company experiences insufficient cash flows to enable it to make required payments on its debt or fund working capital requirements, there may be an adverse effect on the business, financial condition, results of operations and prospects of the company.
