VIKRAN Engineering and Exim Private Limited, an engineering, procurement, and construction (EPC) company based in Mumbai, concluded Pre-IPO placement round with investments totaling Rs 81.5 crores.
India Inflection Opportunity Fund contributed Rs 45 crores, while Ashish Kacholia, a noted investor, and others invested Rs 36.5 crores, collectively acquiring an approximate 11 per cent stake in the company.
Pantomath Capital Advisors Private Limited served as the exclusive investment banker and financial advisor for the transaction.
The company is promoted by Rakesh Markhedkar, an IIM Bangalore and BITS Pilani Alumni with more than three decades of experience in managing business in Power infra and large heavy industries.
Rakesh Markhedkar, MD of VIKRAN, said, "At a very early stage of the company, we have developed very good credentials and eligibility in Infra sector. We also implemented an SAP system to access real-time information from over 100 site locations across India. Our core business strategy has always been delivering the project ahead of schedule."
"With India Inflection Opportunity Fund coming aboard, we believe that the journey to financial success is paved with innovation, resilience, and strategic thinking. With IIOF partnership, we are confident in our ability to navigate the complexities of the market and seize opportunities that will yield mutually beneficial returns. Together, we can build a future of prosperity and growth" Rakesh Markhedkar further added.
Speaking about its investments in VIKRAN, Madhu Lunawat, CIO of India Inflection Opportunity Fund, said, "We are quite excited about the potential for growth in VIKRAN. Further, we believe that the EPC industry will be critical for India's ambitious plan of becoming the 3rd largest economy with a GDP of approximately $8 trillion."
VIKRAN clocked revenue of Rs. 526 crores in FY23, growing at a CAGR of 25 between fiscal 2021 to 2023. The Company had EBITDA margins of 14.4 per cent and PAT margins of 8.2 per cent, which are one of the best in the industry. The Company had robust return ratios of Return on Equity of 28 per cent and Return on Capital Employed of 25 per cent.
India Inflection Opportunity Fund (IIOF) is category II AIF launched by Pantomath Financial Services Group. Launched in April 2022, this Rs 500 crore Category II Alternate Investment Fund (AIF) is managed by Pantomath Capital Management Private Limited. The fund follows an active investing approach with focus on capital preservation by adherence to disciplined risk mitigation process.