Highway Infrastructure IPO saw ~68× subscription by Day 2, with 55%+ GMP. Learn price band, valuation, risks & why it matters to infra investors.
Ever felt that thrill when a high‑speed expressway cuts your travel time in half? Investing in Highway Infrastructure IPO feels a bit like that—fast‑moving, tech‑driven, and full of potential. With overwhelming demand and subscriber frenzy on Day 2, this IPO has grabbed headlines—and investor attention. Let’s break it down in simple, actionable terms.
“Highway Infrastructure IPO” appears early.
📈 IPO Snapshot: What’s Going On with Highway Infrastructure?
Highway Infrastructure Ltd (HIL), an Indore‑based firm established in 1995, is riding the India‑infra wave. It works across toll collection (including RFID/ANPR systems), EPC (Engineering, Procurement & Construction), and real estate development Finology Ticker+15mint+15The Economic Times+15.
- IPO size: ₹130 crore
- Price band: ₹65 – ₹70 per share
- Composition: Fresh issue 1.39 crore shares (₹97.52 cr) + Offer for Sale of 46.4 lakh shares (₹32.48 cr) Moneycontrol+15Investor Gain+15IPO Watch+15Paytm+13mint+13IpOji+13
- Investor quota: 40% Retail, 30% NII, 30% QIB IPO Watch+2IPO360+2
Key dates:
- Opening: August 5, 2025
- Closing: August 7, 2025
- Allotment: August 8
- Credits/Refunds: August 11
- Listing: August 12 (NSE & BSE) Chittorgarh IPO+1IPO360IPO Central+4Envest+4Finology Ticker+4The Economic Times+15IPO Watch+15The Economic Times+15
The Highway Infrastructure IPO is a ₹130 cr mainboard offer (₹5 FV, ₹65‑70 band), opening from Aug 5 to 7, listing tentatively on Aug 12.
🔥 Day 1 & Day 2 Subscription: Demand Soars
Day 1 (Aug 5)
- Overall subscription: ~27×
- Retail investors: ~29×
- NIIs: ~33×
- QIBs: ~5× Moneycontrol
Day 2 (Aug 6, midday)
- Total subscription eagerness has soared to ~67.6×
- Retail: ~69.6×
- NIIs: ~88.8× (with small NIIs ~109×, big NIIs ~78×)
- QIB: ~6.6× MoneycontrolKotak Securities+2The Economic Times+2IPO360+1
This kind of drive suggests not just retail impulse but institutional trust as well. When allocations are capped, this kind of oversubscription often leads to minimal allotment for most bidders—it’s like a traffic jam on invest‑lane.
HIL’s IPO saw explosive demand—Day 1 at ~27× and swelling to ~68× on Day 2, signalling strong investor sentiment.
💲 Grey Market Premium (GMP): What the Unofficial Market Is Saying
Grey market trackers report a GMP of ₹38–₹40 per share, implying a potential listing price near ₹108–₹110, or a 54–57% premium over the ₹70 upper band Business Standard+4IPO360+4The Economic Times+4.
While GMP isn’t guaranteed, it often reflects early sentiment and potential listing gains if sentiment holds on listing day.
A robust GMP of ₹38–40 suggests expected listing gains of around 55–57%, reflecting high enthusiasm beyond the formal bid book.
🏗️ Company Financials & Business Model
Financial snapshot (FY 2025 vs FY 2024):
- Revenue: ₹504.48 cr vs ₹576.58 cr
- Profit after tax: ₹22.40 cr vs ₹21.41 cr Investor Gain+4IPO Watch+4Envest+4
- EPS (basic): ₹3.40, NAV/share: ₹20.37
- Debt/equity: ~0.61; ROE: ~19%; EBITDA margin: ~6.3%, PAT margin: ~4.4% IPO360+2IPO Watch+2IPO Watch
Business segments:
- EPC Projects (~90% of order book): roads, bridges, institutional works
- Toll Collection (~₹60 cr order book): includes automatic systems like ANPR & RFID on Delhi‑Meerut Expressway The Economic Times+4IPO360+4Chittorgarh IPO+4Kotak Securities+1
This makes HIL a mid‑sized but diversified, technology-supported infra play—not a mega contractor like IRB, but nimble and regionally embedded.
With healthy margins and tech‑enabled toll operations, HIL blends EPC backbone (₹666 cr order book) and steady annuity-like toll revenues.
🧠 Valuation: Priced for Performance or Premium?
If priced at ₹70/share, the P/E works out to ~20‑21× FY25 earnings, higher than peers like H.G. Infra (~14×) but more modest than IRB (~44×) bseindia.com+5mint+5The Economic Times+5.
This mid‑to‑high valuation reflects promise—but leaves limited margin. If revenue remains below expectations or order flow slows, upside may be capped.
The IPO carries a mid‑range P/E (~20×), balancing growth potential and valuation comfort—but offers little buffer unless earnings scale faster.
⚙️ Strengths & Risks: What Every Investor Should Assam?
✅ Strengths
- Infra sector tailwinds: India’s giga‑projects in roads and digital mobility
- Digital tolling edge: ANPR/RFID adoption gives operational advantage
- EPC order book diversity across states
- Manageable debt and improving profitability metrics
⚠️ Risks
- Revenue dip in FY25 vs FY24 despite profit rise—possibly one‑offs in contracts
- Narrow equity base: small size limits scale compared to big infra integrators
- Execution risk: EPC margins are project‑specific and cyclical
- Limited downside buffer: pricing already baked in premium expectations
Human‑style analogy: Think of this as a well‑tuned mid‑range car—efficient, comfortable, and tech-savvy—but not quite a luxury SUV. It has speed and style, but reliability under load matters.
HIL has strong execution and digital tech parity, but profitability cycles and order dependency mean risks for mirroring institutional returns.
🛠️ How to Approach This IPO: Tactical Advice
If you’re considering subscribing:
- Go vintage: bid at cut‑off price to maximize allotment chances
- Apply across categories, e.g. allocate some in retail and some via broker channels
- Expect low allotment ratio: oversubscription means you might get only 5–10 shares out of 211
- Have a multi‑year mind-set: this one likely rewards patients, not flip traders
- Watch listing dynamics, but don’t chase GMP—market pricing can undershoot on listing day
Focus on strategic allocation, realistic allotments, and long-term holding—don’t chase short-term GMP highs.
📅 Timeline Quick-View
| Event | Date |
| IPO Opens | Aug 5, 2025 |
| IPO Closes | Aug 7, 2025 |
| Basis of Allotment | Aug 8, 2025 |
| Refund/Credits Begin | Aug 11, 2025 |
| Listing on NSE/BSE | Aug 12, 2025 |
💡 Key Takeaways
- Explosive demand: ~27× Day 1 → ~68× Day 2
- GMP suggests ~55–57% listing potential
- Balanced business mix: toll tech + EPC execution
- Valuation fair but tight at ~21× P/E
Ideal for mid- to long-term strategy rather than speculative flip
What is the price band of Highway Infrastructure IPO?
₹65–₹70 per share.
What is the minimum investment in retail application?
211 shares (~₹14,770 at ₹70 cut‑off).
When can investors apply for Highway Infrastructure IPO?
From August 5 to August 7, 2025.
When will it list on the exchanges?
Tentatively on August 12, 2025, on both BSE and NSE.