SRM Contractors Limited IPO Day 1: Subscribed 3.59x

On Day 1, the first day of the bidding process, Tuesday, March 26, 2024, the Initial Public Offer (IPO) of SRM Contractors Limited was subscribed 3.59x. The retail portion was subscribed to 3.59x, while 1.57x in Qualified Institutional Buyers (QIB) and 6.27x in the Non-Institutional Investors (NII) category.

SRM Contractors Limited IPO opened for subscription today on Tuesday, March 26, 2024, and closes on Thursday, March 28, 2024. The company is expected to get listed on the stock exchanges on Wednesday, April 3, 2024.

SRM Contractors Limited IPO GMP

On March 26, 2024, the shares of SRM Contractors Limited were commanding a premium of ₹90 in the grey or unlisted market.

Day Wise Subscription Details

About SRM Contractors Limited IPO

The price band of SRM Contractors Limited IPO has been fixed from ₹200 to ₹210 per share, and the face value is set at ₹10 per share. The minimum investment is ₹14,700, where the lot size is 70 shares. The IPO is a fresh issue of 6,200,000 shares, aggregating up to ₹130.20 crore.

The objectives of the IPO are:

• To fund the capital expenditure requirements for the purchase of equipment/machinery
• To repay and/or prepay fully or partly certain outstanding secured borrowings availed by the company
• To fund the company’s working capital requirements
• To invest in Project Specific Joint Venture Projects
• For general corporate purposes.

Before the opening of the IPO, i.e., on March 22, 2024, SRM Contractors Limited’s IPO committee held a meeting after consulting the Book Running Lead Managers and finalised the allocation of 18,59,900 equity shares to Anchor Investors at an Anchor Investor allocation price of ₹210 per share.

About SRM Contractors Limited

SRM Contractors Limited is an engineering construction and development company that is involved mainly in the construction of roads, tunnels, bridges, slope stabilisation works, and other civil construction activities in the Union Territories of Jammu & Kashmir and Ladakh. The company undertakes construction works as an EPC contractor and on an item-rate basis for infrastructure projects. They also accept sub-contracting assignments for infrastructure construction projects.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.