New Delhi: Garuda Construction and Engineering's IPO received full subscription, with 1.91 times the number of subscriptions on its first day on Tuesday. The IPO received bids for 3,80,15,666 shares, exceeding the 1,99,04,862 shares available, as per NSE data. The section designated for Retail Individual Investors (RIIs) was oversubscribed by 3.43 times, whereas the quota for non-institutional investors received 1.10 times subscription. Only 2 per cent of investors in the Qualified Institutional Buyers (QIBs) category showed interest in subscribing.
Garuda Construction and Engineering Ltd announced on Monday that it has secured Rs 75 crore from anchor investors. The company has established a price range of Rs 92-95 per share for its Rs 264-crore IPO. The first stock offering will end on October 10. The initial public offering includes 1.83 crore new equity shares and 95 lakh equity shares being sold by promoter PKH Ventures. The IPO has been set at Rs 264 crore at the highest price range.
The Rs 100 crore raised from the new offering will be used for working capital needs, with the remainder going towards general corporate uses such as potential inorganic acquisitions. Garuda Construction, based in Mumbai, is currently working on six residential projects, two commercial projects, one industrial project, and one infrastructure project, totaling an order book of Rs 1,408.27 crore. The company's revenue increased from Rs 77.02 crore in FY22 to Rs 154.18 crore in FY24, showing a CAGR of 26 percent. Net income rose from Rs 18.78 crore in FY22 to Rs 36.43 crore in FY24, with a compound annual growth rate of 25 percent. The only lead manager handling the book is Corpwis Advisors, while Link Intime India is also involved.
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