Garuda Construction and Engineering Limited public issue on the second day of bidding saw a subscription rate by 4.10 times, with bids totaling 8,16,77,366 shares against the 1,99,04,862 shares offered.
The price band of the public issues is set between Rs 90 to Rs 95.
The IPO opened for subscription on October 8, 2024, and will close on October 10, 2024.
Segment-wise Subscription
The retail investors portion was subscribed by 6.73 times, non-institutional investors at 2.58 times, and qualified institutional buyers (QIBs) subscribing 0.91 times.
Day 1 - Overview
On the first day or day 1 of the bidding, the public issue was subscribed at a rate of 1.91 times.
IPO/ Representative Image | Freepik
Anchor Investment
Ahead of the IPO launch, the company secured Rs 75 crores from notable anchor investors, including AAG Dynamic Funds Limited, Trust Mutual Fund – Trust MF Flexi Cap Fund, Maybank Securities Pte Limited, North Star Opportunities Fund VCC, Resonance Opportunities Fund, Bridge India Fund, and Cognizant Capital Dynamic Opportunities Fund.
Financial Position
According to reports, the company, now stands in a debt-free status. It has a order book of Rs 1,408 crores, equating to 9.2 times its sales.
Furthermore, the IPO is priced at a reasonable Price-to-Earnings (P/E) ratio of 19.5x, based on FY24 earnings.
About the company
The company operates in the segment of civil construction services and caters to various projects, including Residential and Commercial, Infrastructure Projects, Industrial Projects, and Hospitality Projects.
