Garuda Construction and Engg IPO subscribed 1.91 times

The initial public offer (IPO) of Garuda Construction and Engineering received 3,80,15,666 bids for shares as against 1,99,04,862 shares on offer, according to stock exchange data at 17:00 IST on Tuesday (8 October 2024). The issue was subscribed 1.91 times.

The issue opened for bidding on 8 October 2024 and it will close on 10 October 2024. The price band of the IPO was fixed between Rs 90 to 95 per share. An investor can bid for a minimum of 157 equity shares and in multiples thereof.

The public issue of up to 2,78,00,000 equity shares of face value of 5 per equity share comprises fresh issue of up to 1,83,00,000 equity shares and an offer for sale (OFS) up to 95,00,000 equity shares by PKH Ventures, its promoter.

Of the net proceeds from fresh issue, Rs 100 crore will be used to fund the long-term working capital requirements. The balance is for general corporate expenses and unidentified inorganic acquisitions.

Ahead of the IPO, Garuda Construction and Engineering on Monday, 7 October 2024, raised Rs 75 crore from anchor investors. The board allotted 78.95 lakh shares at Rs 95 each to 7 anchor investors.

Garuda Construction and Engineering (GCEL) is a construction company offering end to end civil construction service for residential, commercial, residential cum commercial, infrastructure and industrial projects and additional services for infrastructure and hospitality projects.

Its end-to-end civil construction starts with detailed route survey, designing, detailed engineering, mobilization of resources, micro scheduling of construction activities, obtaining construction permissions and conducting soil/water testing, hiring of contractor / manpower, procurement of material, lab testing, carrying out construction activities as per approved plan and finally handing over the project are per the agreed terms.

The firm reported a consolidated net profit of Rs 36.44 crore and sales of Rs 154.18 crore for the twelve months ended on 31 March 2024.