Company Overview
LCC Projects Limited is a multidisciplinary engineering, procurement and construction (EPC) company specializing in irrigation and water supply projects, including construction of dams, barrages, weirs, hydraulic structures, canals, and water supply schemes. The company has expanded into metro rail projects and mining development operations, operating across 12 states in India with an order book of ₹79,531.81 million as of March 31, 2026 comprising 103 projects. The company has four subsidiaries: DOM'S Delicious Private Limited (restaurant business), LCC Engineering Private Limited (renewable energy), LCC Minechem Private Limited (mining minerals), and LCC-Saroj (JV) Private Limited (water treatment).
Offer Details
The Initial Public Offering comprises 29,256,232 equity shares at ₹146 per share (including ₹141 premium), aggregating ₹4,271.41 million. The offer includes a fresh issue of 17,671,232 shares (₹2,580 million) and an offer for sale of 11,585,000 shares (₹1,691.41 million) by selling shareholders. The price band was set at ₹139-146 per share, with the IPO opening on September 9, 2026 and closing on September 11, 2026, with listing expected around September 17, 2026. The company received SEBI approval on July 3, 2025 and in-principle listing approvals from BSE and NSE.
Financial Performance
The company demonstrated strong financial growth with revenue increasing from ₹24,389.12 million in FY24 to ₹36,002.52 million in FY26 at a 21.50% CAGR. Profit After Tax grew from ₹1,219.97 million to ₹2,864.41 million over the same period. EBITDA reached ₹5,198.97 million in FY26, while total debt stood at ₹8,606.54 million with a debt-to-equity ratio of 0.97 times. The company maintained healthy profitability metrics with Return on Net Worth at 32.24% in FY26.
Use of Proceeds
Net proceeds of ₹2,364.19 million from the fresh issue will be allocated to: equipment purchase (₹146.91 million for dump trucks and excavators), prepayment/repayment of borrowings (₹1,800 million covering 87 borrowing facilities), and general corporate purposes (₹417.28 million). The debt repayment will address significant borrowings of ₹18,177.11 million (consolidated as of July 31, 2026).
Risk Factors
Key business risks include significant dependence on government contracts (79.07% of order book, 89.34% of FY26 revenue), geographical concentration in Gujarat and Madhya Pradesh, high employee attrition rate of 23.94% in FY26, and substantial receivables of ₹4,558.21 million as of March 2026. Regulatory risks include pending tax disputes of ₹122.18 million and contingent liabilities of ₹1,299.86 million. Market risks encompass intense competition, raw material price volatility, and economic conditions affecting infrastructure spending.
Management & Ownership
Promoters Arjan Suja Rabari (Chairman and MD, 28 years experience) and Laljibhai Arjanbhai Ahir (MD, 16 years experience) hold 100% pre-IPO capital through complex capital history including bonus issues (3:1 ratio in February 2025) and share splits (₹10 to ₹5 in February 2025). Post-IPO, promoter holding will reduce to approximately 73%. The management team includes Artiba Narpatsinh Jadeja (CFO) and Gayatri Desai (Company Secretary).
Industry Context
The company operates in India's infrastructure sector driven by government initiatives like Pradhan Mantri Krishi Sinchayee Yojana (PMKSY) and Jal Jeevan Mission, with ₹6,587 crore allocated to PMKSY in Union Budget FY2026-27. The irrigation sector represents 8% of the National Infrastructure Pipeline's ₹111 lakh crore investment target. Key competitors include Enviro Infra Engineers Limited, Vishnu Prakash R Punglia Limited, and JWIL Infra Limited.
Legal & Compliance
The company faces ongoing legal proceedings including two arbitration petitions against Madhya Pradesh Jal Nigam Maryadit claiming ₹419.77 million and 12 tax cases involving ₹122.18 million. Corporate guarantees outstanding total ₹673.49 million. The company has obtained all necessary regulatory approvals for operations and maintains compliance with environmental, health, and safety regulations across its projects.