/images/ppid_59c68470-image-178892255828410341.webp)
/images/ppid_59c68470-image-178888752260382231.webp)
What is the story about?
The ₹427.1-crore initial public offering (IPO) of Gujarat-based LCC Projects, an engineering, procurement and construction (EPC) company focused on irrigation and water supply infrastructure, will open for subscription on Wednesday, September 9. The issue will close on September 11.
The company has fixed a price band of ₹139-146 per share. The IPO lot size is 102 shares, meaning retail investors will need to invest a minimum of ₹14,892 at the upper end of the price band.
In the unlisted market, shares of LCC Projects are commanding a grey market premium (GMP) of ₹29, indicating an implied listing gain of around 20% over the issue price.
However, GMP is only an unofficial indicator of market sentiment in the unlisted market and can change rapidly. It should not be considered a reliable indicator of the actual listing price.
LCC Projects IPO: Should you subscribe?
SBI Securities: Subscribe for long term
SBI Securities has recommended investors subscribe to the issue for the long term, citing LCC Projects' strong order book, improving profitability and reasonable valuation.
The brokerage said LCC Projects has more than two decades of experience in irrigation and water supply infrastructure and operates across 12 states. The company has also recently established a precast concrete manufacturing facility in Jaspur, Gujarat.
LCC Projects recorded revenue, EBITDA and adjusted PAT CAGRs of 21.5%, 34.6% and 39%, respectively, between FY24 and FY26. Its order book stood at ₹7,953 crore as of FY26, equivalent to around 2.2 times its FY26 revenue, providing strong revenue visibility.
The company plans to use ₹180 crore of the fresh issue proceeds to repay borrowings, which SBI Securities expects will significantly deleverage the balance sheet. The debt-to-equity ratio is expected to decline to 0.6x post repayment from 1x in FY26, while lower interest costs could support profitability.
At the upper price band of ₹146, the issue is valued at 14.9x FY26 price-to-earnings (P/E) based on post-issue capital, which SBI Securities considers reasonable. The brokerage also said LCC Projects' profitability metrics are superior to those of its EPC peers.
Anand Rathi: Subscribe for long term
Anand Rathi has also assigned a “Subscribe - Long Term” rating to the IPO, citing the company's strong order book, healthy earnings growth and favourable long-term prospects for irrigation and water infrastructure.
The brokerage said revenue from operations grew at a CAGR of 21.5%, while PAT grew at a CAGR of 53.2% between FY24 and FY26.
LCC Projects' order book stood at ₹7,953.2 crore as of March 31, 2026, comprising 103 projects. Irrigation and water supply projects account for the largest share, while the company is also expanding into areas such as mining, renewable energy and metro rail.
Anand Rathi noted that the company's growth outlook is supported by geographical diversification, larger and more complex projects and established execution capabilities. However, it flagged risks related to dependence on government projects, customer and geographical concentration, project execution and relatively high leverage.
At the upper price band, the company is valued at 14.8x FY26 P/E and 9.61x FY26 EV/EBITDA, with a post-issue market capitalisation of ₹4,229.2 crore. The brokerage considers the valuation reasonable given the company's order book and earnings growth.
IPO structure and use of proceeds
The IPO comprises a fresh issue of 1.77 crore shares worth ₹258 crore and an offer-for-sale (OFS) of 1.16 crore shares worth ₹169.14 crore.
LCC Projects plans to use ₹180 crore of the net fresh issue proceeds to repay certain borrowings, while ₹14.6 crore will be used to purchase equipment. The remaining funds will be utilised for general corporate purposes.
As of July 2026, the company had total consolidated borrowings of ₹1,817.7 crore.
Business and financials
LCC Projects executes EPC projects across the irrigation and water supply segments, including dams, barrages, weirs, hydraulic structures, canals, pipe distribution networks, lift irrigation works and water supply schemes.
As of March 2026, the company had an order book of ₹7,953.1 crore, with irrigation and water supply projects accounting for 83% of the total.
LCC Projects competes with listed companies such as Vishnu Prakash R Punglia and Enviro Infra Engineers.
For FY26, the company's profit rose 28.1% to ₹286.4 crore, while revenue increased 23.4% year-on-year to ₹3,600.3 crore.
Motilal Oswal Investment Advisors is the sole merchant banker to the issue.
The LCC Projects IPO allotment is expected to be finalised on September 15, while the shares are likely to list on the NSE and BSE on September 17.
The company has fixed a price band of ₹139-146 per share. The IPO lot size is 102 shares, meaning retail investors will need to invest a minimum of ₹14,892 at the upper end of the price band.
In the unlisted market, shares of LCC Projects are commanding a grey market premium (GMP) of ₹29, indicating an implied listing gain of around 20% over the issue price.
However, GMP is only an unofficial indicator of market sentiment in the unlisted market and can change rapidly. It should not be considered a reliable indicator of the actual listing price.
LCC Projects IPO: Should you subscribe?
SBI Securities: Subscribe for long term
SBI Securities has recommended investors subscribe to the issue for the long term, citing LCC Projects' strong order book, improving profitability and reasonable valuation.
The brokerage said LCC Projects has more than two decades of experience in irrigation and water supply infrastructure and operates across 12 states. The company has also recently established a precast concrete manufacturing facility in Jaspur, Gujarat.
LCC Projects recorded revenue, EBITDA and adjusted PAT CAGRs of 21.5%, 34.6% and 39%, respectively, between FY24 and FY26. Its order book stood at ₹7,953 crore as of FY26, equivalent to around 2.2 times its FY26 revenue, providing strong revenue visibility.
The company plans to use ₹180 crore of the fresh issue proceeds to repay borrowings, which SBI Securities expects will significantly deleverage the balance sheet. The debt-to-equity ratio is expected to decline to 0.6x post repayment from 1x in FY26, while lower interest costs could support profitability.
At the upper price band of ₹146, the issue is valued at 14.9x FY26 price-to-earnings (P/E) based on post-issue capital, which SBI Securities considers reasonable. The brokerage also said LCC Projects' profitability metrics are superior to those of its EPC peers.
Anand Rathi: Subscribe for long term
Anand Rathi has also assigned a “Subscribe - Long Term” rating to the IPO, citing the company's strong order book, healthy earnings growth and favourable long-term prospects for irrigation and water infrastructure.
The brokerage said revenue from operations grew at a CAGR of 21.5%, while PAT grew at a CAGR of 53.2% between FY24 and FY26.
LCC Projects' order book stood at ₹7,953.2 crore as of March 31, 2026, comprising 103 projects. Irrigation and water supply projects account for the largest share, while the company is also expanding into areas such as mining, renewable energy and metro rail.
Anand Rathi noted that the company's growth outlook is supported by geographical diversification, larger and more complex projects and established execution capabilities. However, it flagged risks related to dependence on government projects, customer and geographical concentration, project execution and relatively high leverage.
At the upper price band, the company is valued at 14.8x FY26 P/E and 9.61x FY26 EV/EBITDA, with a post-issue market capitalisation of ₹4,229.2 crore. The brokerage considers the valuation reasonable given the company's order book and earnings growth.
IPO structure and use of proceeds
The IPO comprises a fresh issue of 1.77 crore shares worth ₹258 crore and an offer-for-sale (OFS) of 1.16 crore shares worth ₹169.14 crore.
LCC Projects plans to use ₹180 crore of the net fresh issue proceeds to repay certain borrowings, while ₹14.6 crore will be used to purchase equipment. The remaining funds will be utilised for general corporate purposes.
As of July 2026, the company had total consolidated borrowings of ₹1,817.7 crore.
Business and financials
LCC Projects executes EPC projects across the irrigation and water supply segments, including dams, barrages, weirs, hydraulic structures, canals, pipe distribution networks, lift irrigation works and water supply schemes.
As of March 2026, the company had an order book of ₹7,953.1 crore, with irrigation and water supply projects accounting for 83% of the total.
LCC Projects competes with listed companies such as Vishnu Prakash R Punglia and Enviro Infra Engineers.
For FY26, the company's profit rose 28.1% to ₹286.4 crore, while revenue increased 23.4% year-on-year to ₹3,600.3 crore.
Motilal Oswal Investment Advisors is the sole merchant banker to the issue.
The LCC Projects IPO allotment is expected to be finalised on September 15, while the shares are likely to list on the NSE and BSE on September 17.
/images/ppid_59c68470-image-178876752595979843.webp)
/images/ppid_59c68470-image-178891002701056505.webp)
/images/ppid_59c68470-image-178875760571096941.webp)
/images/ppid_59c68470-image-178887511598672315.webp)
/images/ppid_59c68470-image-178891009678645253.webp)
/images/ppid_59c68470-image-178876008479092341.webp)