NEW DELHI: Sri Lotus Developers and Realty Ltd, a real estate firm supported by Bollywood celebrities and prominent investor Ashish Kacholia, witnessed strong demand for its initial public offering (IPO), which was subscribed 3.59 times on its opening day of bidding on Wednesday.
According to the National Stock Exchange (NSE), the IPO received bids for 14.23 crore (142,386,800) equity shares, surpassing the 3.96 crore (39,658,730) equity shares available.
The Qualified Institutional Buyers (QIB) segment was particularly strong, achieving 5.31 times subscription, while the non-institutional investors’ allocation was subscribed 3.10 times. The Retail Individual Investors (RIIs) portion received bids 2.82 times the shares available.
On Tuesday, Sri Lotus Developers raised Rs 237 crore from institutional investors.
The IPO, which will close on August 1, has set a price range of Rs 140-150 per share.
This IPO is entirely a fresh share issue valued at Rs 792 crore, devoid of any Offer For Sale (OFS) components.
Funds from this fresh issue will be directed towards investments in subsidiaries Richfeel Real Estate Pvt Ltd, Dhyan Projects Pvt Ltd, and Tryksha Real Estate Pvt Ltd, aimed at partially financing ongoing projects such as Amalfi, The Arcadian, and Varun, in addition to general corporate expenses.
Promoted by Anand Kamalnayan Pandit, the company specializes in developing residential and commercial properties in Mumbai, Maharashtra, particularly focusing on ultra-luxury and luxury redevelopment projects in the western suburbs.
Monarch Networth Capital and Motilal Oswal Investment Advisors are acting as the book running lead managers for this public issue.
