Upcoming IPO: Dhariwal Buildtech Files DRHP With SEBI to Raise Funds

Dhariwal Buildtech, an infrastructure construction company based in Haryana, has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI). The company plans to raise ₹950 crore through an Initial Public Offering (IPO), which is entirely a fresh issue of shares. There is no offer-for-sale component in this issue, as per the news reports.

Pre-IPO Placement and Allocation

The company may consider a pre-IPO placement of up to ₹190 crore, which is 20% of the proposed fresh issue size. If this option is exercised, the overall IPO size will be reduced. A portion of the issue is reserved for employees. 

Under the book-building process, not more than 50% of the net offer will be allocated to qualified institutional buyers, not more than 15% to non-institutional bidders, and up to 35% to retail individual bidders.

Use of Proceeds

According to the DRHP, ₹300 crore will be invested in subsidiaries for repayment of borrowings. Around ₹203 crore will be used to purchase construction equipment, while ₹174.2 crore is earmarked for repayment of certain borrowings. The balance will be used for general corporate purposes.

Dhariwal Buildtech Background

Incorporated in 2016 and renamed Dhariwal Buildtech in 2018, the company undertakes projects in roads, highways, bridges, tunnels, irrigation, and railways. Since 2017, it has completed 29 projects across eight states with a combined value of about ₹2,117.62 crore. As of March 2025, the company had 27 ongoing projects across 10 states and an order book worth ₹4,766.9 crore.

Dhariwal Buildtech Financial Performance

The company’s revenue grew from ₹618.51 crore in FY23 to ₹1,152.98 crore in FY25, a CAGR of 36.53%. EBITDA rose from ₹105.29 crore to ₹246.57 crore during the same period, while profit after tax increased from ₹64.39 crore to ₹160.59 crore. Total assets rose from ₹2,867.24 million in FY23 to ₹10,534.16 million in FY25.

Read More: Upcoming IPOs This Week: 5 Mainboard and 16 SME IPO Set to Open!

Lead Managers and Listing

SBI Capital Markets Limited and HDFC Bank Limited are acting as book-running lead managers. MUFG Intime India Pvt Ltd is the registrar. The shares will be listed on both BSE and NSE.

Conclusion

Dhariwal Buildtech’s proposed IPO will fund debt repayment, capital expenditure on equipment, subsidiary investments, and general corporate purposes.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

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