Shriram Properties will make its stock market debut tomorrow
- Shriram Properties is primarily focused on mid-market and affordable housing categories.
- The company has raised ₹600 crore through this public issue.
- The company is commanding a grey market premium (GMP) of ₹9.
AdvertisementShriram Properties will finally make its stock market debut tomorrow, December 20, almost three years after its first attempt.
The company had first filed its draft red herring prospectus (DRHP) to go public in 2018, but redacted the offer due to a sluggish property market. However, some stock brokerages were not too excited about this public issue even now.
Saurabh Joshi and Kaushal Thakkar of Marwadi Financial Services have suggested retail investors to stay away from the offering as it is “expensive as compared to its peers.”
“We are constructive on the company's long term growth prospects given the current positive industry growth trends and Shriram's strong brand presence and execution track record. However, improvement in financials would remain a key monitorable for the company," said analysts at Religare Broking.
The issue was oversubscribed by 4.6 times.
|Qualified institutional buyers
|Non institutional investors
Shriram Properties is a south India-based company, which is primarily focused on mid-market and affordable housing categories. The company has completed 29 projects, representing 16.76 million square feet of saleable areas, as of September 30 of this year.
The company has raised ₹600 crore from this public issue. Nearly ₹250 crore was raised through the fresh issue, while the remaining ₹350 crore was raised as offer for sale (OfS) from existing shareholders — including Walton Street Capital, TPG Asia and Omega TC Sabre Holdings.
The price band of the public issue is ₹113 to ₹118. The Shriram Properties IPO’s market lot size is 125 shares, priced at ₹14,750 at the issue price.
The grey market premium (GMP) — a premium amount at which shares are traded in the unofficial market — was at ₹9 on December 18.
AdvertisementThe fight to control the metaverse: Crypto die-hards prepare for battle with Facebook and Big Tech
Tesla is facing an investor lawsuit over Elon Musk's tweets on 10% stock sales and his recent feud with Elizabeth Warren
Shaadi.com is looking to enter into matchmaking for LGBTQ+
Popular on BI
- EPFO adds a net 15.62 lakh members in Dec; 8.41 lakh new subscribers join workforce
- Zee Entertainment reaches out to Sony to revive terminated merger
- India's AI market to touch $17-billion by 2027: Nasscom-BCG report
- Worried about 'forever chemicals' in your water? Try electron-beaming it!
- Wetlands in the icy Arctic have begun releasing 9% more planet-warming methane in the past two decades: study