Ashoka Buildcon has offered infrastructure playfully. Investors may choose to subscribe to them after the initialization to the public. The range of their upper price band is about rupees two hundred and ninety-seven to rupees three hundred and twenty-four.

The deal they have offered includes discounts of FY-10 total earnings upto twenty two times. Also, they are estimating a rise of FY-11 income by upto fourteen times. Jaypee Infratech and IRB Infrastructure are big time players in the market. Hot shots like them are seen to trade at assessments summing to twenty one to twenty two of the total trailing earnings.

However, that is not the limit. Ashoka Buildcon may prove to have better luck than them. Ashoka Buildcon may indeed, have better chances of higher growth as compared to other leading groups in the construction sector such as Jaypee Infratech and IRB Infrastructure.

Besides, working and bettering its own road projects, Ashoka Buildcon serves as a contractor for third parties in the construction of roads and also for the construction contractor in electrical works.

This arrangement allows them to retrieve maximum benefits and significant potential, out of both the avenues. Already there are a number of roads which it operates and thus collects tolls from them and add to their revenue.

In addition, they have multiple other projects, waiting to come into function in the pipeline. The company’s bitumen division and RMC allow them to easily make both ends meet. Most of its necessities and requirements are satisfied by these, other than the revenue they collect from sales and tolls.

Ashoka has ten operational roads and they are collecting taxes on all. The amount they collect from these tolls sums to about twenty percent of the total revenues. Six of the projects that are still in the pipeline, three will hit the road in the final quarter of this financial year.