Arkade Developers Ltd, a prominent real estate company, is set to launch its Initial Public Offering (IPO) to raise ₹410 crore. The IPO opens for public subscription on September 16 and closes on September 19, with a price band set between ₹121-128 per share.
Latest updates on Arkade Developers IPO Day 1, including GMP, subscription status, key dates, expert review, and whether you should apply
Arkade Developers IPO: Key Details
- IPO Size: ₹410 crore
- Price Range: ₹121-128 per share
- Lot Size: 65 shares (and in multiples of 65 shares)
- Reservation:
- 50% for Qualified Institutional Buyers (QIBs)
- 15% for Non-Institutional Investors (NIIs)
- 35% for Retail Investors
- Employees are allocated shares worth up to ₹2 crore with a ₹5 discount per share.
Company Overview
Arkade Developers Ltd is a rapidly growing real estate firm with a strong presence in Mumbai. By July 31, 2023, the company has successfully developed 1.80 million square feet of residential properties, including projects through partnerships where Arkade holds a majority stake.
From 2017 to Q1 2023, Arkade has launched 1,040 residential units and sold 792 units across the Mumbai Metropolitan Region (MMR) in Maharashtra, showcasing its robust market presence.
Financials
The company has seen fluctuating revenues over the past three years:
- 2023: ₹224.01 crore
- 2022: ₹237.18 crore
- 2021: ₹113.18 crore
Peer Comparison
According to the red herring prospectus (RHP), Arkade Developers competes with several established real estate firms:
- Keystone Realtors Ltd: P/E ratio of 74.85
- Godrej Properties Ltd: P/E ratio of 111.53
- Macrotech Developers Ltd: P/E ratio of 78.46
- Suraj Estate Developers Ltd: P/E ratio of 40.92
GMP and Subscription Status
Ahead of its IPO, Arkade Developers raised ₹122.40 crore from anchor investors, signaling positive market sentiment. The Grey Market Premium (GMP) for Arkade Developers is yet to see significant fluctuations, but early indications suggest steady demand.
Should You Apply?
With a solid presence in Mumbai’s real estate sector, Arkade Developers offers potential growth backed by its consistent sales and expansion strategy. However, considering the competitive P/E ratios of its peers, investors should weigh both market risks and the company’s future growth trajectory before applying.
If you’re interested in Arkade Developers IPO, the subscription window closes on September 19, and the shares are likely to list shortly after. Stay updated on the GMP and analyst reviews for better insight.
FAQs
1. What is the Arkade Developers IPO?
The Arkade Developers IPO is an initial public offering (IPO) where the company aims to raise ₹410 crore by issuing shares priced between ₹121 and ₹128 per share.
2. What are the dates for the Arkade Developers IPO?
The IPO opens for public subscription on September 16, 2024, and closes on September 19, 2024.
3. What is the lot size for the Arkade Developers IPO?
The lot size for the Arkade Developers IPO is 65 equity shares, and investors can apply in multiples of 65 shares.
4. What is the Arkade Developers IPO GMP (Grey Market Premium)?
The Grey Market Premium (GMP) for the Arkade Developers IPO is subject to market fluctuations. You can track the latest GMP on financial news platforms or IPO tracking websites.
5. How is the Arkade Developers IPO allocated?
The IPO is allocated with 50% reserved for Qualified Institutional Buyers (QIBs), 15% for Non-Institutional Investors (NIIs), and 35% for Retail Investors. Additionally, employees have been allocated shares worth up to ₹2 crore with a ₹5 discount per share.
6. Should I apply for the Arkade Developers IPO?
Whether you should apply depends on your investment goals and risk appetite. Analysts suggest reviewing the company’s financials, market positioning, and peer comparisons before making a decision.
7. Who are the anchor investors for the Arkade Developers IPO?
Arkade Developers secured ₹122.40 crore from anchor investors ahead of its IPO. Specific names of the investors may be available through official announcements or the company’s RHP.
