Puranik Builders is one of the most well-known residential real estate developers in the Mumbai Metropolitan Region (“MMR”) and Pune Metropolitan Region (“PMR”), based on the quantity of units presently on the market. Puranik Builders IPO will hit the stock market in December 2021.
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About Puranik Builders
Puranik Builders initially started their operations in Thane in 1990 and have since expanded into additional micro-markets. Based on the developments presently being promoted and corresponding units sold, they are also one of the major residential real estate developers in MMR’s expanding Thane district (Source: C&W Report).
They have over 31 years of experience in the Indian real estate industry, constructing residential projects in the mid-income affordable housing category in both the MMR and PMR markets.
Their initiatives primarily target particular research-based strategic pricing ranges within the budget housing market niche for middle-income families. So far, we’ve completed 35 projects in the MMR and PMR.
Track record
They believe They have effectively navigated fluctuating market trends by consistently catering to changing client priorities, such as theme-based projects, leveraging our substantial expertise functioning in MMR and PMR markets under the guidance of our technically knowledgeable Promoters backed by a team of seasoned specialists.
Via theme-based developments and extra facilities, they have a track record of successfully completing projects in the MMR and PMR, notably in the mid-income affordable housing category.
They have created 554,197 square metres (5,965,381 square feet) of Developable Area throughout 35 Finished Projects as of July 31, 2021.
Business Approach
They think that their in-depth knowledge of the local real estate industry, design and execution abilities, as well as the strong Puraniks brand and significant marketing activities, have helped them to develop their business effectively.
Their client-centric business approach focuses on creating theme-based projects to meet client needs in a variety of locales and pricing points.
Rumah Bali, Puraniks City Reserva, and Tokyo Bay in the MMR, and Aldea Espanola and Abitante in the PMR, are some of their significant finished and ongoing theme-based projects.
They think that their strong presence in the MMR and PMR, as well as their theme-based growth approach, has resulted in strong brand recall in both markets.
Puranik Builders IPO
Puranik Builders Limited, headquartered in thane has submitted Draft Red Herring Prospectus(DRHP) to Securities and Exchange Board of India(SEBI) for initial public offering (IPO) of INR 510 crores and 945,000 equity share on 20 September 2021.
The offer includes 510 crores value fresh equity shares and there is an offer for sale (OFS) of 945,000 equity share by the promoters mentioned in the DRHP.
They are now waiting for approval from Securities and Exchange Board of India(SEBI) to float the initial public offering (IPO) in the market.
Financials Trends
| Particulars | For the year/period ended ( in Cr.) | ||||
|---|---|---|---|---|---|
| 31 July 2021 | 31-Mar-21 | 31-Mar-20 | 31-Mar-19 | ||
| Total Assets | 2,108.70 | 2,092.80 | 2,008.32 | 1,964.95 | |
| Total Revenue | 191.13 | 513.56 | 730.24 | 721.23 | |
| Profit After Tax | 17.53 | 36.30 | 51.23 | 71.27 | |
Basic and Diluted Earnings Per Share
| Financial Period | Basic EPS (in INR) | Diluted EPS (in INR) | Weight |
| Financial Year 2021 | 6.08 | 6.08 | 3 |
| Financial Year 2020 | 7.72 | 7.72 | 2 |
| Financial Year 2019 | 10.70 | 10.70 | 1 |
| Weighted Average | 7.40 | 7.40 | |
| 31st July 2021 | 2.97 | 2.97 |
Objects of the Issue
- Prepayment / repayment of all or a portion of the outstanding borrowings of the company to be availed on consolidated basis.
- To meet common corporate objectives.
Basis of the offer
The following basic parameters are used to calculate the Offer Price:
- Long-standing businesses in the enticing MMR and PMR real estate sectors.
- Focus on and expertise in the reasonable housing market for middle-income families.
- Pricing strategy for the MMR and PMR micromarkets.
- Product offers that are distinct and diverse.
- Capabilities for project execution and management that are integrated.
- In the MMR and PMR segments, the company has a well-known brand and a strong client base.
- Proven track record of producing high-quality projects.
- Promoters with extensive experience and qualifications, as well as a top management team.
- Projects in the pipeline are plenty.
- Joint development agreements and joint venture arrangements are used to build projects using an asset-light strategy.
Puranik Builders IPO Peer Comparison
| S. No. | Face Value | Company Name | PE |
| 1 | 10 | Oberoi Realty Limited | 37.51 |
| 2 | 5 | Godrej Properties Limited | (211.28) |
| 3 | 10 | Prestige Estates Project Limited | 11.64 |
| 4 | 1 | Sunteck Realty Limited | 126.49 |
| 5 | 10 | Sobha Limited | 117.12 |
| 6 | 10 | Brigade Enterprises Limited | (165.25) |
| 7 | 10 | Kolte-Patil Limited | (386.58) |
| 8 | 10 | Macrotech Developers Limited | 1,077.77 |
Puranik Builders IPO Details
| IPO Opening Date | December 2021 |
| IPO Closing Date | December 2021 |
| Issue Type | Book Building |
| Face Value | 10 per share |
| IPO Price | 0 to 0 per equity share |
| Market Lot | – |
| Min Order Quantity | – |
| Listing At | BSE, NSE |
| Issue Size | – |
| Fresh Issue | 510 crore |
| Offer for Sale | 945,000 Equity shares |
Puranik Builders IPO Date
Puranik Builders IPO opening date is December 2021, and the closing date is December 2021. The Puranik Builders IPO issue may list in December 2021.
| IPO Opening Date | December 2021 |
| IPO Closing Date | December 2021 |
| Basis of Allotment Date | December 2021 |
| Initiation of Refunds | December 2021 |
| Credit of Shares to Demat Account | December 2021 |
| IPO Listing Date | December 2021 |
Basis of Allotment
| Type | % of Offer | Basis of Allotment |
|---|---|---|
| Qualified Institutional Buyer | 50 |
Roughly
equivalent
|
| Non Institutional Investor | 15 |
Roughly
equivalent
|
| Retail | 35 | Minimum level of 1 lot, based on availability, for every shareholder. |
Puranik Builders IPO Allotment Status
Allotment of equity stocks subject to the Fresh Issue and transfer of the Promoter Selling Shareholders’ OFS Stocks to the winning Bidders subject to the Offer for Sale. Nevertheless, the status of the allotment has yet to be revealed.
Here, you can find the Allotment Status of Puranik Builders IPO.
Puranik Builders IPO GMP
Puranik Builders IPO Grey Market Premium is 0.
| Date | GMP (in Rs) | Subject to Sauda | Kostak (in Rs) |
| December 2021 | |||
| December 2021 | |||
| December 2021 | |||
| December 2021 | |||
| December 2021 | |||
| December 2021 | |||
| December 2021 | |||
| December 2021 | |||
| December 2021 | |||
| December 2021 | |||
| December 2021 | |||
| December 2021 |
Puranik Builders IPO Review
Puranik Builders IPO review will depend on the price band which will be announced after SEBI Approval. Whenever it will be announced we will update you regarding review of Puranik Builders IPO is good or bad.
Puranik Builders IPO Risk
- The COVID-19 epidemic has a negative impact on their business, and it may limit future demand for their initiatives.
- A negative decision in some ongoing litigation processes against their Company, subsidiaries, directors, and promoters might have a negative impact on their company.
- Their debts, as well as the terms and circumstances enforced by their financing arrangements, may have a negative impact on their company.
- They have some contingent liabilities that, if realised, might have a negative impact on their business.
- In the past, several of their Group Companies have suffered losses.
- Any ambiguity in their real estate assets’ title might have a significant negative impact on their revenue.
Other Threats
- Among their Ongoing Projects, they have a large number of unsold products.
- Land prices may rise, and there may be a scarcity of land and transferable development rights available for development.
- They have engaged into joint development agreements and other similar arrangements with third parties in order to obtain land or development rights, which may include some risks.
- Third-party indemnification, liability claims, or invocation of assurances may be made against them, which might have a negative impact on their company.
- The change in the rate of property taxes and stamp duties might have a negative impact on their firm.
- Their industry is prone to seasonality, which might cause changes in their sales.
Business
Almost every part of their real estate development company is handled in-house, including the purchase of suitable property and the delivery of a project from conception to completion.
They’ve built a studio and structural design team in-house to help them with project conception and developing market-specific solutions for certain consumer groups.
They’ve also formed an in-house property development team to oversee their operations, with a particular focus on procurement efficiency, vendor selection, and construction activities.
They’re also in charge of after-sales support. A wide network of marketing and sales channels supports their in-house sales associates.
Market Share
Affordable and mid-income housing remains to account for the strongest proportion of new unit releases, accounting for 88 percent in 2020. (Source: C&W Report).
The rise in market share may be ascribed to the government’s initiatives to promote cheap and middle-income housing, as well as steady demand from end-users.
The inexpensive and mid-income sector is the largest segment, and it is projected to remain so in the future years (Source: C&W Report).
In comparison to the high-end and luxury categories, there has also been a significantly higher demand from end users in this category, resulting in higher sales volume and velocity (Source: C&W Report).
Puranik Builders IPO Brokerage views
- Yes Securities : Not Updated
- Choice Brokering: Not Updated
- Axis Securities: Not Updated
- IIFL Securities: Not Updated
- Trade swift: Not Updated
- Anand Rathi : Not Updated
- ICICI Securities: Not Updated
Puranik Builders IPO Subscription Status
| Date | Day | QIB | NII | Retail | Employees | Total Subscription |
| December 2021 | 1 | |||||
| December 2021 | 2 | |||||
| December 2021 | 3 |
Management
Their executive team has extensive expertise in the Indian real estate business, allowing them to discover potential development opportunities. Their Managing Director, Shailesh Puranik, is a licenced architect with over 30 years of expertise in the real estate industry.
Yogesh Puranik, Nilesh Puranik, and Shrikant Puranik are also on their board of directors, all of them are competent and experienced professionals who oversee different parts of the firm.
Yogesh Puranik has finished a postgraduate management programme for senior executives, Nilesh Puranik has a diploma in civil engineering, and Shrikant Puranik has passed a certificate program in building construction professions.
Promoters
Names the promoters of Puranik Builders Limited are:
- Shailesh Puranik
- Shrikant Puranik
- Yogesh Puranik
- Nilesh Puranik
- Puranik Business Trust
- Puranik Family Trust
Promoter’s Holding
| Pre Issue Share Holding | 97.94% |
| Post Issue Share Holding |
Puranik Builders IPO Prospectus
Contact Details
Puranik Builders Limited
PURANIK ONE, Near Kanchanpushpa Complex,
Opposite Suraj Water Park, Kavesar,
Ghodbunder Road, Thane (West) – 400 615
Tel: +91 22 2598 8888
E-mail: [email protected]
Website: www.puranikbuilders.com
Registrar
KFin Technologies Private Limited
Selenium, Tower B, Plot No- 31 and 32, Financial District
Nanakramguda, Serilingampally
Hyderabad 500 032
Telephone: +91 40 6716 2222
Email: [email protected]
Website: www.kfintech.com
Lead Manager(s)
- YES Securities (India) Limited
- Elara Capital (India) Private Limited
We hope we are able to answer all your questions about Puranik Builders IPO. If you don’t have a Demat account, open it now with Zerodha best trading app of India.
Disclaimer
The reference of IPO Grey Market Premium (IPO GMP) is only valid for the date specified in the header.
On the IPO Grey Market, we do not purchase or sell IPO forms.
The Kostak Rate is the profit earned by selling an IPO application (in an off-market transaction) to somebody else before the issue is allotted or listed.
Do not subscribe to an IPO based solely on the premium price, as it may alter at any time before to the listing. Only consider the fundamentals of the companies when subscribing.
The GMP rates for IPOs are based on market intelligence. Please keep in mind that these IPO GMP rates may vary by geography and market.
Note:
We do not engage in grey market trading or facilitate the purchase or sale of IPO forms. We don’t endorse such activities at all. We are sticky against such activities & never advise anyone to trade in grey market at all.
FAQ
Puranik Builders IPO Opening Date?
Puranik Builders IPO will open in December 2021.
Puranik Builders IPO Listing Date?
Puranik Builders IPO will list in December 2021.
Puranik Builders IPO GMP Today?
Puranik Builders IPO Grey Market Premium is INR 0 .
Puranik Builders IPO Allotment Date?
Puranik Builders IPO basis of allotment will be in December 2021.
Lot size for Puranik Builders IPO?
Lot size for Puranik Builders IPO is 0.
