The Suraj Estate Developers IPO is set with a price band ranging from ₹340 to ₹360 per equity share, with the subscription period beginning on December 18 and concluding on December 20.
The floor price is 68 times the face value, while the cap price is 72 times the face value. The price-to-earnings ratio based on diluted EPS for the financial year 2023 at the floor price is 33.66 times and at the cap price is 35.64 times. The IPO lot size is 41 equity shares, with multiples of 41 equity shares thereafter.
Allocation for the IPO includes not more than 50% of the shares for qualified institutional buyers (QIBs), a minimum of 15% for non-institutional investors (NIIs), and at least 35% for retail investors. The tentative basis of allotment is scheduled for December 21, with refunds initiated on December 22, and shares credited to demat accounts on the same day. Listing on BSE and NSE is anticipated on December 26, adhering to the mandatory T+3 listing norm.
The Suraj Estate IPO comprises a fresh issue of shares of up to ₹400 crore, with no offer for sale (OFS) component. The net proceeds are intended for land acquisition or land development rights, general corporate purposes, and repayment/prepayment of outstanding borrowings of the company and its subsidiaries, including Accord Estates Private Limited, Iconic Property Developers Private Limited, and Skyline Realty Private Limited.
The registrar for the IPO is Link Intime India Private Ltd, and the book running lead managers are ITI Capital Ltd and Anand Rathi Securities Limited. Suraj Estate Developers Limited specializes in constructing real estate properties in the South Central Mumbai area for both residential and commercial use.
As per the company’s Red Herring Prospectus (RHP), listed peers include Oberoi Realty Limited, Sunteck Realty Limited, Keystone Realtors Limited, Shriram Properties Limited, Mahindra Lifespace Developers Limited, DB Realty Limited, and Hubtown Limited. Between the financial years ending on March 31, 2023, and March 31, 2022, Suraj Estate Developers Limited experienced a 12.41% increase in revenue and a 20.98% growth in profit after tax (PAT).
