Signature Global shares demonstrated resilience and upward momentum following a successful debut on the Indian stock market. The real estate developer’s listing on the Bombay Stock Exchange (BSE) at ₹445.00 per share marked a premium of 15.58% compared to the issue price of ₹385 per share. Similarly, on the National Stock Exchange (NSE), Signature Global opened at ₹444 per share, reflecting a 15.32% premium.
Post-listing, Signature Global’s share price continued to climb, reaching a high of ₹453.80 per share on the BSE. This level represented an impressive 2% increase over the listing price and a remarkable 18% surge compared to the IPO price.
The listing performance of Signature Global shares aligned with the expectations of market analysts, considering the favorable response garnered by the company’s initial public offering (IPO).
Shivani Nyati, Head of Wealth at Swastika Investmart Ltd, cautioned investors about certain aspects of Signature Global’s profile despite its stature as a prominent real estate developer in Delhi-NCR. Notably, the company has faced historical losses, concentration risk, and stiff competition from other developers. Nyati advised investors who wish to hold Signature Global shares to maintain a stop loss at ₹400 level.
The Signature Global IPO, valued at ₹730 crore, was open for subscription from September 20 to September 22, receiving substantial interest with a total subscription of 11.88 times, according to stock exchange data. The IPO was priced in the range of ₹366 to ₹385 per share.
Signature Global Ltd holds a prominent position as one of the largest real estate developers in the Delhi NCR region, focusing on affordable and lower mid-segment housing in terms of units supplied.
As of March 31, 2023, Signature Global had successfully sold 27,965 residential and commercial units exclusively within the Delhi NCR region, boasting an aggregate Saleable Area of 18.90 million square feet.
The company’s net sales exhibited robust growth, with a compounded annual growth rate (CAGR) of 42.46%, surging from ₹1,690.27 crore in Fiscal 2021 to ₹3,430.58 crore in Fiscal 2023. Additionally, as of March 31, 2023, Signature Global had sold 25,089 residential units, each with an average selling price of ₹36 lakh per unit.
Despite strong revenue figures, Signature Global reported a net loss of ₹63.72 crore in FY23 alongside a total revenue of ₹1,585.88 crore.
At 11:50 am, Signature Global’s share price stood at ₹450.95 per share on the BSE, reflecting a 1.34% increase compared to the listing price and an impressive 17.13% gain over the IPO price. The company commanded a market capitalization exceeding ₹6,336 crore.
