IPO of Shriram Properties Opens Today, Know About Its GMP And Other Key Details

New Delhi: The Initial Public Offering (IPO) of South India's real estate company Shriram Properties worth Rs 600 crore is all set to open today.

The issue can be subscribed till December 10. The company has fixed the price band for IPO at Rs 113-118 per share.

In addition to the issue of fresh equity shares, there will also be an offer for sale.

Under this IPO, new shares worth Rs 250 crore will be issued while under Offer for Sale (OFS) shares worth Rs 350 crore will be sold. Earlier, shares worth Rs 550 crore were to be sold under the offer for sale, but later the company decided to reduce it.

The face value per share is Rs 10. At the same time, this issue has a lot size of 125 shares. In terms of upper price band, retail investors will have to invest at least Rs 14750 in this.

Around 75 percent stake in Shriram Properties IPO is reserved for Qualified Institutional Buyers (QIBs) while 15 percent will be reserved for Non-Institutional Investors (NII) and 10 percent for retail investors.

The company has reserved 3 crore shares for its employees. They will get shares at a discount of Rs 11. The proceeds from the IPO will be used for corporate purposes other than debt repayment.

Shriram Properties GMP

As per market observers, the Grey Market Premium (GMP) is Rs 16 today.

The company's shares are expected to list on stock exchanges BSE and NSE on December 20, 2021.

The company is a part of Shriram Group. The company's focus is in the mid-market and affordable housing segment. However, it has a presence in the mid-market premium, comfortable housing categories, and commercial and office space categories as well.

In the financial year 2021, the company has incurred a loss of Rs 68.18 crore due to the corona virus. In the financial year 2020 also, the company was in loss.

Also read:HP Adhesives IPO To Open On December 15

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