Business Business: For some time now, there has been a huge rush in the IPO market. In such a situation, Garuda Construction and Engineering also launched an IPO. The IPO received a good response on the first day on October 8. I fully subscribe to it. On Tuesday, the issue was oversubscribed 1.64 times. Let us tell you that on the first day, investors bought 3.25 crore shares against the offer size of 1.99 crore shares. Mumbai-headquartered Garuda Construction aims to raise Rs 264.10 crore through its luxury launch. The IPO is a combination of new shares worth Rs 173.85 crore and an offer for sale of 95 lakh shares worth Rs 90.25 crore by promoter PKH Ventures. The price range has been fixed at 92-95 rubles per share for the closure of the issue on October 10.
Garuda Construction’s gray market premium is seeing a decline. This IPO, which had a premium of £18 on October 5, is now available in the grey market at a premium of ₹5. Based on the premium, the IPO could be priced at ₹100. In such a situation, investors who are hoping for profits may get a big shock.
We would like to inform you that Garuda Construction and Engineering has raised Rs 75 crore from seven anchor investors including Trust Mutual Fund, Maybank Securities, AG Dynamic Funds, North Star Opportunities Fund and Resonance Opportunities Fund on October 7.
The proceedings raised from the new IPO issue will be used primarily for the working capital needs of the company. The remaining amount will be used for general corporate purposes and the promoter will benefit from the proceeds from the sale. We would like to inform you that Garuda Construction provides comprehensive construction services for residential, commercial, residential, commercial, infrastructure and industrial projects. Also provides additional services for infrastructure and hotel projects.
