GMP IPO Watch
Annu Projects IPO 2026 – Mainboard Issue Opens Today
Annu Projects Limited launched its IPO for public subscription today, August 25, 2026.
The issue will remain open until August 28, followed by expected allotment on August 31 and listing on BSE and NSE on September 2. The company has fixed a price band of ₹94 to ₹99 per share.
Annu Projects is an engineering, procurement and construction company specialising primarily in underground and overhead utility infrastructure.
Annu Projects IPO Details
| Particular | Details |
|---|---|
| Company | Annu Projects Limited |
| IPO Type | Mainboard IPO |
| Issue Type | Book Built Issue |
| Issue Size | ₹175.06 Crore |
| Fresh Issue | ₹175.06 Crore |
| Offer for Sale | Nil |
| Shares Offered | ~1.77 Crore Shares |
| Price Band | ₹94 – ₹99 |
| Face Value | ₹10 |
| Lot Size | 151 Shares |
| Minimum Investment at ₹99 | ₹14,949 |
| IPO Open Date | August 25, 2026 |
| IPO Close Date | August 28, 2026 |
| Allotment Date | August 31, 2026 |
| Demat Credit | September 1, 2026 |
| Expected Listing | September 2, 2026 |
| Listing | BSE & NSE |
| Lead Manager | Mefcom Capital Markets |
| Registrar | KFin Technologies |
The entire ₹175.06 crore offer is a fresh issue, meaning Annu Projects will receive the IPO proceeds rather than existing shareholders selling shares through an OFS.
What Does Annu Projects Do?
Annu Projects is an EPC infrastructure company established in 2003.
Its operations are divided primarily across four verticals:
| Business Vertical | Work Undertaken |
|---|---|
| Telecom Infrastructure | Optical fibre & communication networks |
| Sewerage Infrastructure | Pipelines, STPs, pumping & drainage |
| Gas Pipelines | Underground gas distribution infrastructure |
| Railway Signalling | Railway communication/signalling projects |
The company undertakes activities ranging from surveying and designing to procurement, construction, installation, testing and project execution.
As of June 30, 2026, Annu Projects had completed 362 projects, had 23 ongoing projects and owned more than 558 machines and pieces of construction equipment.
Sewerage Is Currently the Largest Revenue Segment
Annu Projects has diversified infrastructure operations, but sewerage and telecom projects currently generate most of its business.
FY2026 Revenue Mix
| Segment | Revenue | Contribution |
|---|---|---|
| Sewerage Infrastructure | ₹127.08 Cr | 52.67% |
| Telecom Infrastructure | ₹100.12 Cr | 41.50% |
| Gas Pipeline | ₹9.72 Cr | 4.03% |
| Others | ₹4.34 Cr | 1.80% |
| Total Operating Revenue | ₹241.25 Cr | 100% |
Sewerage and telecom infrastructure together contributed more than 94% of FY2026 operating revenue.
This makes these two segments especially important for the company's near-term financial performance.
Order Book Crosses ₹1,000 Crore
One of the most notable aspects of Annu Projects' IPO story is its order book.
As of June 30, 2026, its confirmed future work stood at approximately ₹1,005.05 crore, according to the company's RHP-based analysis.
| Order Book Indicator | Position |
|---|---|
| Confirmed Order Book | ₹1,005.05 Cr |
| FY2026 Operating Revenue | ₹241.25 Cr |
| Approx. Book-to-Bill | 3.89× |
| Ongoing Projects | 23 |
A book-to-bill ratio approaching four times provides considerable revenue visibility.
However, an order book is not the same as revenue.
The company must still:
execute projects → meet timelines → incur costs → raise bills → collect customer payments.
How effectively Annu converts this ₹1,000+ crore order book into cash-generating revenue will therefore be critical.
₹918.55 Crore BharatNet Project Adds Scale
A particularly important project for the company is a ₹918.55 crore subcontract from G R Infraprojects relating to BharatNet Phase III fibre-optic infrastructure.
This is a very large contract relative to Annu Projects' FY2026 revenue.
It provides substantial growth visibility but also creates execution and concentration considerations.
The opportunity is:
large project → higher execution → revenue growth → better equipment utilisation.
The risk is that delays, cost overruns or slower collections on a major contract can have an outsized effect on the company.
FY2026 Financial Performance
Annu Projects has delivered steady revenue and profit growth over the last three financial years.
| Particular | FY2024 | FY2025 | FY2026 |
|---|---|---|---|
| Total Income | ₹155.42 Cr | ₹182.35 Cr | ₹244.59 Cr |
| EBITDA | ₹28.50 Cr | ₹32.19 Cr | ₹50.19 Cr |
| PAT | ₹17.39 Cr | ₹21.10 Cr | ₹33.03 Cr |
| Total Assets | ₹161.34 Cr | ₹233.37 Cr | ₹341.82 Cr |
| Net Worth | ₹68.93 Cr | ₹122.06 Cr | ₹155.26 Cr |
| Borrowings | ₹19.69 Cr | ₹22.27 Cr | ₹52.54 Cr |
FY2026 was particularly strong.
Total income increased approximately 34%, from ₹182.35 crore to ₹244.59 crore, while PAT increased approximately 57%, from ₹21.10 crore to ₹33.03 crore.
Profit Growth Has Outpaced Revenue
The increase in FY2026 PAT was substantially stronger than the increase in total income.
That indicates an improvement in profitability alongside business growth.
The company's FY2026 EBITDA stood at ₹50.19 crore, compared with ₹32.19 crore in FY2025.
Based on FY2026 operating revenue, current analysis places its EBITDA margin at around 20.8%.
Maintaining these margins while executing a significantly larger order book will be an important post-IPO test.
₹115 Crore Will Go Toward Working Capital
The largest use of IPO proceeds is not debt repayment or acquisitions.
It is working capital.
Use of IPO Proceeds
| Purpose | Amount |
|---|---|
| Working Capital Requirements | ₹115.00 Cr |
| Machinery / Equipment Capex | ₹15.41 Cr |
| General Corporate Purposes | Balance |
| Total Identified Amount | ₹130.41 Cr |
The ₹115 crore working-capital allocation alone represents the majority of the fresh issue.
This tells investors something important about the nature of Annu Projects' business.
Why Does Annu Need So Much Working Capital?
EPC companies generally need to spend money before receiving payment from customers.
The cycle can look like:
win contract → buy materials → deploy equipment & labour → execute work → raise bill → wait for customer payment.
Annu's average customer collection period is reported at approximately 237 days.
That is a long cash-conversion period.
A company can therefore report strong revenue and PAT growth while simultaneously needing more borrowing to finance projects.
This helps explain why working capital accounts for such a large portion of IPO proceeds.
Borrowings Have Increased Rapidly
Debt increased substantially in FY2026.
| Financial Year | Borrowings |
|---|---|
| FY2024 | ₹19.69 Cr |
| FY2025 | ₹22.27 Cr |
| FY2026 | ₹52.54 Cr |
Borrowings more than doubled between FY2025 and FY2026.
This does not automatically indicate a problem because Annu's order book and operations have also expanded. But it highlights the cash requirement created by larger EPC projects.
The IPO could reduce dependence on additional borrowing by providing ₹115 crore of fresh working capital.
Capex Will Expand the Equipment Base
Annu Projects already owns more than 558 construction machines and pieces of equipment, including specialised horizontal directional drilling equipment used for underground infrastructure projects.
Another ₹15.41 crore of IPO proceeds is planned for machinery and equipment.
Owning equipment can help the company:
reduce rental dependence + control project schedules + improve equipment availability + execute multiple projects.
However, equipment only generates attractive returns when it remains sufficiently utilised.
Day 1 Subscription Starts Slowly
Annu Projects opened for subscription this morning.
As of around 11:20 AM on August 25, the IPO had received bids for 8,96,185 shares against 1,76,83,000 shares on offer, representing approximately 5% subscription.
Early Day 1 Subscription
| Category | Subscription* |
|---|---|
| Retail | ~0.08× |
| NII | ~0.03× |
| Overall | ~0.05× |
*Approximate figures as of 11:20 AM on August 25, 2026. Subscription remains live and will change during bidding.
It is too early to judge overall investor demand based on the first few hours of a four-day bidding period.
Annu Projects IPO GMP Today
The latest available grey-market reports currently show ₹0 GMP for Annu Projects.
| GMP Indicator | Latest Position |
|---|---|
| Upper Price Band | ₹99 |
| Latest Reported GMP | ₹0 |
| Indicative Price | ₹99 |
| Indicative Premium | 0% |
| Current GMP Trend | Flat |
This suggests that the grey market is currently not assigning a premium to the issue.
GMP is unofficial and can change considerably during the IPO period, so it should not be treated as a guaranteed listing-price indicator.
Strong Order Book Is the Main Growth Driver
The company's ₹1,005.05 crore confirmed order book is approximately four times FY2026 operating revenue.
This provides meaningful visibility.
If execution proceeds according to schedule, Annu could potentially translate a substantial portion of this contracted work into future revenue.
The growth equation is:
₹1,000+ crore order book + fresh working capital + additional equipment → faster project execution → higher revenue potential.
But the final step is crucial:
higher revenue must eventually translate into cash.
Receivable Days Are the Biggest Metric to Watch
The reported 237-day collection period means Annu can wait nearly eight months on average for customer payments.
This creates a fundamental tension in the business.
The faster Annu grows, the more cash it may initially require to execute projects.
Therefore, investors should not evaluate the company using only:
revenue growth + PAT growth + order book.
They should also track:
receivables + operating cash flow + working-capital days + borrowings.
These figures will reveal whether growth is financially sustainable.
Government and Infrastructure Spending Provides Opportunity
Annu Projects operates in sectors that remain important to India's infrastructure development.
Its major opportunities include:
BharatNet & fibre connectivity + sewerage systems + wastewater treatment + city gas distribution + railway infrastructure.
The company can benefit as India continues investing in digital connectivity and urban infrastructure.
For example, expansion of fibre connectivity required for broadband and 5G can create additional telecom-infrastructure opportunities.
But Customer Concentration Creates Risk
Large EPC contracts naturally create concentration.
A small number of major customers or projects can represent a significant proportion of revenue and future order execution.
If a major customer delays:
project approvals + milestone certification + payments + project execution
Annu's working-capital cycle can deteriorate.
This is particularly important when large government or infrastructure-sector projects form part of the company's order book.
100% Fresh Issue Is a Positive Structural Feature
Annu Projects' entire IPO consists of fresh shares.
| IPO Component | Amount |
|---|---|
| Fresh Issue | ₹175.06 Cr |
| Offer for Sale | Nil |
| Total Issue | ₹175.06 Cr |
There is no promoter or existing-investor exit through an OFS.
The IPO therefore directly strengthens the company's capital base, with the majority of identified funds being deployed toward working capital and equipment.
Key Strengths of Annu Projects
Annu Projects enters the IPO with a combination of improving financial performance and strong revenue visibility.
FY2026 total income reached ₹244.59 crore, EBITDA ₹50.19 crore and PAT ₹33.03 crore. Its confirmed order book stood at ₹1,005.05 crore as of June 30, 2026.
The company has also completed 362 projects and owns more than 558 machines and pieces of equipment, providing an established execution base.
The 100% fresh-issue structure is another notable point because the IPO capital will directly support the company's operations.
Major Risks
The largest concern is the working-capital intensity of the EPC business.
Customer payments take approximately 237 days on average, while borrowings increased from ₹22.27 crore in FY2025 to ₹52.54 crore in FY2026.
Other important risks include customer concentration, dependence on large projects, execution delays, cost overruns, government-sector exposure, equipment utilisation and collection delays.
The ₹1,000+ crore order book provides growth visibility, but the company still needs to execute these projects profitably and collect the resulting receivables.
What Investors Should Track After Listing
| Metric | Why It Matters |
|---|---|
| Order Book | Future revenue visibility |
| Order Inflows | New business momentum |
| Revenue Growth | Project execution |
| EBITDA Margin | Project profitability |
| PAT Growth | Earnings momentum |
| Receivable Days | Collection efficiency |
| Working-Capital Days | Funding requirement |
| Operating Cash Flow | Quality of earnings |
| Borrowings | Balance-sheet pressure |
| Order Book Execution | Revenue conversion |
| Equipment Utilisation | Capex efficiency |
| Customer Concentration | Business risk |
For Annu Projects, operating cash flow and receivable days may ultimately matter more than headline order-book growth.
Final View on Annu Projects IPO
The Annu Projects IPO opened today, August 25, 2026, at a price band of ₹94–₹99. The ₹175.06 crore mainboard offering is entirely a fresh issue and closes on August 28, with listing expected on September 2.
The fundamental story is attractive on growth visibility. Annu reported FY2026 total income of ₹244.59 crore and PAT of ₹33.03 crore, while its confirmed order book stood at approximately ₹1,005.05 crore as of June 30.
At the same time, the company's rapid growth requires considerable funding. Customer collections average around 237 days, borrowings rose to ₹52.54 crore in FY2026, and ₹115 crore of IPO proceeds is specifically earmarked for working capital.
