Garuda Construction and Engineering, a civil construction company based in Mumbai, has received approval from SEBI (Securities and Exchange Board of India) to raise money through an Initial Public Offering (IPO). The approval was granted on August 26, following the company’s filing on May 24, 2024.
The IPO will include the sale of up to 18.30 million new shares, each priced at ₹5, and the sale of up to 9.50 million shares by the company’s promoters, PKH Ventures. The shares will be sold through a process where 50% of the shares are reserved for large investors, 15% for smaller institutions, and 35% for regular individual buyers.
Garuda Construction began working in the hospitality sector in 2010 with the construction of the Golden Chariot Vasai Hotel & Spa, completed in 2014.
The company currently has 12 ongoing projects, including major ones like ‘Trinity Oasis’ in Thane, ‘Garuda Zenith’ in Mumbai, and a hydro power project in Arunachal Pradesh. The total value of their work is around ₹1,408 crore, with ₹547 crore worth of work already completed.
Garuda’s earnings have grown significantly. From 2022 to 2023, their revenue jumped to ₹161 crore, more than doubling from the previous year, with profits increasing to around ₹41 crore. In the first eight months of the current year (up to November 2023), they earned ₹80 crore with a profit of nearly ₹19 crore.
This IPO will be Garuda Construction’s first time selling shares to the public. The company is being advised by Corpwis Advisors, and Link Intime India is managing the share purchases. Once the IPO is complete, the shares will be available for trading on NSE and BSE.
Disclaimer: The views and investment tips expressed by investment experts on Sharepriceindia.com are their own and not those of the website or its management. Sharepriceindia.com advises users to check with certified experts before taking any investment decisions.
