Price band set at Rs92/- to Rs95/- per Equity Share
Mumbai, October 3, 2024: Garuda Construction and Engineering Limited, a growing civil construction company provide end-to-end civil construction for residential, commercial, residential cum commercial, infrastructure and industrial projects and additional services for infrastructure and also hospitality projects, has fixed the price band of Rs92/- to Rs 95/- per Equity Share of face value Rs5/- each for its maiden initial public offer. The Initial Public Offering (“IPO” or “Offer”) of the Company will open on Tuesday, October 08, 2024, for subscription and close on Thursday, October 10, 2024.
Investors can bid for a minimum of 157 Equity Shares and in multiples of 157 Equity Shares thereafter. The IPO is a mix of fresh issue of up to 1,83,00,000 equity shares and an offer of sale up to 95,00,000 equity shares. The net proceeds (gross proceeds less issue expenses) from its fresh issuance will be utilized to the extent of Rs 100 crore towards working capital requirement; and balance towards general corporate purposes including unidentified inorganic acquisitions. Garuda Construction and Engineering is a growing civil construction company providing end-to-end civil construction for residential, commercial, residential cum commercial, infrastructure and industrial projects and additional services for infrastructure and also 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. Besides, civil construction it is also involved in services. It also provides services such as operations and maintenance services (“O&M”) and Mechanical, Electrical and Plumbing (“MEP”) services and finishing works as a part of its construction services. It is currently engaged in civil construction of six (6) residential projects, two (2) commercial projects, one (1) industrial project and one (1) infrastructure, with an order book of Rs 1,408.27 crore. Garuda Construction’s revenue from operations has grown from Rs 77.02 crore in Fiscal 2022 to Rs 154.18 crore in Fiscal 2024, at a Compound Annual Growth Rate (“CAGR”) of 26.03%, and profit after tax has increased from Rs 18.78 crore in Fiscal 2022 to Rs 36.43 crore in Fiscal 2024, at a CAGR of 24.72%. For the one month ended April 2024, revenue from operations stood at Rs 11.87 crore and Profit after Tax stood at Rs 3.50 crore. The offer is being made through the book-building process, wherein not more than 50% of the offer shall be available for allocation on a proportionate basis to qualified institutional buyers, not less than 15% of the offer shall be available for allocation to non-institutional bidders, and not less than 35% of the offer shall be available for allocation to retail individual bidders. Corpwis Advisors Private Limited is the sole book running lead manager, and Link Intime India Private Limited is the registrar of the issue. Notes for Reference: Issue Size of the IPO based on the upper and lower end of the price band Fresh (1,83,00,000 equity shares) OFS (95,00,000 equity shares) Lower Band (@Rs 92) Rs 168.36 crore Rs 87.40 crore Total (2,78,00,000) Rs 255.76 crore Upper Band (@Rs 95) Rs 173.85 crore Rs 90.25 crore Rs 264.10 crore
