Big week for the Indian IPO markets. A lot of important IPOs will be launching. Apart from the much anticipated HDB Financial, realty major Kalpataru will also launch its issue. The Rs 1,590 crore Initial Public Offering (IPO) will open for subscription on June 24.
With no offer for sale (OFS) component and\ focus on growth and debt reduction, let’s take a look at 7 key factors to watch out for –
Kalpataru IPO: Structure and fresh issue with no OFS
Kalpataru’s IPO is entirely a fresh issue of over 3.84 crore equity shares. That means all proceeds will go directly into the company and no promoters or existing investors are selling their stakes. The issue opens on June 24 and closes on June 26, giving a three-day window to apply.
Kalpataru IPO: Price band and lot size
The price band for the IPO has been set at Rs 387 to Rs 414 per share. For retail investors, the minimum lot size is 36 shares, which means you will need to invest at least Rs 14,904 at the upper end of the price range.
Kalpataru IPO: Timeline
Kalpataru IPO will open for subscription on June 24 and close on June 26. Following the close of bidding, the basis of allotment is expected to be finalised by June 27.
For those allotted shares, refunds will be initiated on June 30, and the shares will be credited to demat accounts on the same day. The much-awaited listing on BSE and NSE is scheduled for July 1
Kalpataru IPO: How the funds will be used
The company has made its objectives of the IPO –
Around 75% of the IPO proceeds, or Rs 1,192.5 crore, will go toward repaying existing borrowings of the company and its subsidiaries.
The remaining 25% will be used for general corporate purposes, which could include expansion, working capital, or new development opportunities.
Kalpataru IPO: GMP buzz
Ahead of the opening of the issue, in the grey market, the share price of the company is trading at a premium of Rs 9. This as of now indicates an estimated listing price of Rs 423 per share. This translates to 2.17% up from the upper price band of Rs 414.
However, it is also important to note that this is not the actual listing price and may fluctuate based on market sentiment.
Kalpataru IPO: About the company
The company was founded in 1988. It has been a key name in real estate, especially in the Mumbai Metropolitan Region (MMR). It develops luxury and mid-income housing, commercial properties, and integrated townships.
Furthermore, it is also ranked 5th in the MCGM region and 7th in Thane by units supplied between 2019 and 2024.
Kalpataru IPO: Part of a diversified business group
Kalpataru Limited is a part of the larger Kalpataru Group, established in 1969 by Mofatraj P. Munot. The group has global operations in over 75 countries, spanning power transmission, oil and gas, railways, and civil infrastructure.
Another group entity, Kalpataru Projects International Limited, is already listed on NSE and BSE.