Garuda Construction and Engineering listed at Rs 105 on the National Stock Exchange, a premium of 10.5% to the issue price.
Garuda Construction IPO GMP
The company’s shares were neither attracting a premium nor a discount in the grey market, indicating a lack of investor interest in the issue. The grey market is an unofficial place to trade shares ahead of listing.
Garuda Construction IPO Details
The company’s IPO price band ranged between Rs 92 to Rs 95 per equity share. The IPO was closed on October 10. The company opened its IPO on October 08. The allotment of shares was finalised on October 11. It raised Rs 264.10 crore from the primary capital market. According to the company, the raised funds will be utilised for the working capital requirements, other general corporate expenses, and unidentified inorganic acquisitions.
Minimum Investment Required
A retail buyer had to bid for at least one lot that contained 157 shares, amounting to Rs 14,915. There were different lot sizes for small and big NIIs.
About Garuda Construction and Engineering
The company is into construction services for residential, commercial, infrastructure, and industrial projects. The company provides services for infrastructure and hospitality projects. Additionally, it provides services such as operation and maintenance (O&M) and mechanical, electrical and plumbing (MEP) services as well as finishing works as part of construction services.
Expert’s Take on Garuda Construction and Engineering
“The company has a track record of successfully executing a diverse mix of construction projects i.e., residential, hospitality and commercial projects with visible growth through increasing order book and strong project management and execution capabilities to accomplish their projects on schedule while keeping high construction quality,” said Anand Rathi Research in an IPO note. At the upper price band company is valuing at a P/E of 24.28x, with a market cap of Rs 883.9 crore post-issue of equity shares and a return on net worth of 36.14%. “We believe that the IPO is fully priced and recommend a “Subscribe- Long term” rating to the IPO,” said Anand Rathi.
BRLM and Registrar
Corpwis Advisors is the sole lead book runner of the IPO and Link Intime India is the registrar.