At 1.54 pm, the issue attracted bids for 1,37,19,092 shares or 1.67 times the issue size of 82,35,293 shares. The quota reserved for retail individual investors (RIIs) was subscribed 2.82 times. The issue was booked 1.03% in the NII category. The portion allotted for qualified institutional bidders was subscribed 12%.
According to market analysts, the current GMP of Suraj Estate Developers is Rs 50-60 in the unlisted market.
Also Read: Motisons Jewellers IPO subscribed 28 times so far on Day 2 of bidding process; GMP soars
Suraj Estate Developers IPO price band
The Mumbai-based realtor has fixed a price band of Rs 340-360 for its IPO and investors can bid for a minimum of 41 shares in one lot and in the multiples thereafter.
Suraj Estate Developers IPO GMP
Suraj Estate Developers is commanding a premium of Rs 50-60, which is 14% over the IPO issue price.
Suraj Estate Developers IPO structure
The issue is being made public through the book-building process wherein 50% will be available for qualified institutional buyers, 15% for non-institutional bidders and 35% for allocation to retail investors.
Also Read: Muthoot Microfin IPO sails through on Day 2. Check GMP and other details
Suraj Estate Developers IPO review
Analysts advised investors to subscribe to the issue as the company has shown consistent growth over the last few years. The management is optimistic that this trend will continue.”With extensive market knowledge, SEDL is a market leader in the combined South-Central Mumbai submarkets. Yet, the company must contend with competition from a range of national and regional real estate developers. The IPO is coming at a P/E of 35.64 which looks fairly priced, so we recommend applying for this IPO for listing gains,” said Swastika Investmart.
Suraj Estate Developers’ financials
The company clocked a profit of Rs 32.06 crore in FY23, against Rs 26.50 crore in the previous year — a rise of 20.98%. Revenue during FY23 rose 12% to Rs 306, primarily due to an increase in the sales on account of new projects launched in the value luxury segment and additional floor transaction of commercial projects.
The company’s profit margin increased to 10.49% in fiscal 2023 from 9.72% in fiscal 2022.
Suraj Estate Developers IPO book running lead managers
ITI Capital Ltd and Anand Rathi Advisors Ltd are the book-running lead managers to the issue.
(Subscribe to ETMarkets WhatsApp channel)
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
