In recent months, there has been a surge of Initial Public Offerings (IPOs) in the stock market. Many companies have applied to the Securities
and Exchange Board of India (SEBI) for approval, while some have already received the green light.
One of the companies whose IPO has been approved is Garuda Construction and Engineering Limited. The company’s IPO issue price has now been decided.
Issue Price and Important Dates
The IPO price has been set between Rs 92 and Rs 95 per share, with the total size of the offering being around Rs 264 crore.
Investors can participate in this IPO starting from October 8 until October 10, giving them a 3-day window to invest.
Key Details of the IPO
According to the IPO documents, the offering consists of a mix of fresh shares worth Rs 1.83 crore and an Offer for Sale (OFS) of 95 lakh shares by promoter PKH Ventures.
The total size of the IPO is Rs 264 crore based on the upper price band.
Of the fresh funds raised, Rs 100 crore will be allocated for working capital needs, while the rest will be used for general corporate purposes, including mergers and acquisitions.
Corpvis Advisors is acting as the sole book-running lead manager, and Link Intime India is the registrar for the issue.
Financial Performance
Garuda Construction and Engineering has shown significant growth in recent years.
The company’s revenue from operations nearly doubled, increasing from Rs 77.02 crore in FY 2022 to Rs 154.18 crore in FY 2024.
Similarly, net profits grew from Rs 18.78 crore in FY 2022 to Rs 36.43 crore in FY 2024.
Surge of IPOs in the Market
It’s worth noting that many companies are rushing to launch IPOs to raise funds.
In just the first two days of October, more than 15 companies have submitted IPO documents to SEBI for approval.
