SRM Contractors IPO Day 2: Check GMP, subscriber status

The SRM Contractors IPO got off to a solid start yesterday (Tuesday, March 26) and will close on Thursday, March 28. According to BSE statistics, the overall subscription rate for the SRM Contractors IPO on Day 1 was 3.56 times. The non-institutional investors (NIIs) component was booked 6.26 times, while the retail segment was subscribed 3.55 times. The qualified institutional buyer (QIB) segment was booked 1.57 times.

The IPO price range for SRM Contractors is ₹200 to ₹210 per share, with a face value of ₹10. Bids may be submitted for multiples of 70 shares, with a minimum bid of 70. It has reserved at least 15% of the shares for NIIs, up to 50% for QIBs, and at least 35% for retail investors.

On Friday, March 22, anchor investors contributed ₹39 crore to the SRM Contractors IPO.The SRM Contractors IPO share issuance date is tentatively scheduled for Monday, April 1. The shares will be credited to the allottees’ demat accounts on the same day as the reimbursement date, Tuesday, April 2. SRM Contractors share price is scheduled to be posted on BSE and NSE on Wednesday, April 3.

SRM Contractors works on various types of civil construction projects in Jammu and Kashmir and Ladakh, two Union Territories. Its endeavors include tunnel building, slope stabilization projects, roadways (including bridges), and other minor ones.With the technical expertise required to finish projects in the region’s difficult terrain, the company has developed to become a prominent player in the infrastructure development industry in the Union Territories of Jammu and Kashmir and Ladakh.

SRM Contractors’ IPO Subscription Status

On the second day, NIIs responded overwhelmingly, followed by individual investors and QIBs. According to BSE statistics, the aggregate subscription status for SRM Contractors’ IPO was 17.42 times. The retail component was subscribed for 13.95 times, while the NII portion was booked 45.51 times.

The QIB component was booked 2.41 times.According to BSE statistics, bids for the SRM IPO totaled 7,55,93,770 shares, with 43,40,100 shares on offer.

The retail investors category got bids for 3,02,77,100 shares, with 21,70,000 shares on offer.

The NIIs part received bids for 4,23,25,500 shares, with 9,30,000 on sale for this section.

The QIBs section received bids for 29,91,170 shares, with 12,40,100 on offer.

SRM Contractors IPO information

The SRM IPO issues up to 62,00,000 equity shares for ₹130.20 crore. There is no “offer for sale” component.The company intends to use the net proceeds from the offering to satisfy working capital requirements, repay existing secured loans in full or in part, participate in joint ventures customized to specific projects, and for general corporate purposes. Funding will also be available to cover the capital expenditures of buying machinery and equipment.Interactive Financial Services Ltd is the book running lead manager for the SRM Contractors IPO, while Bigshare Services Pvt Ltd serves as the registrar.

Also Read|SBI Card and Titan Launch Titan SBI Card: Check cashback, gift cards, reward points, and other data.

SRM Contractors launched their IPO GMP today

SRM Contractors’ IPO GMP is +95. SRM Contractors’ share price was trading at a premium of ₹95 on the grey market, according to investorgain.com.The estimated listing price for SRM Contractors shares is ₹305 per share, which is 45.24% more than the IPO price of ₹210, considering the upper end of the IPO pricing band and the current premium on the grey market.

Based on the last nine sessions in the gray market, the IPO GMP predicts a strong listing in the future. According to the analyst analysis on investorgain.com, the lowest GMP is 25 rupees and the highest is 95.

SRM Contractors’ IPO Review Dilip Davda, a contributing editor for Chittorgarh

According to Davda, the firm has shown constant growth in both its top and bottom lines, and it specializes in engineering construction for roads, tunnels, slop stabilization, and so on. As of December 2023, the business has orders worth over ₹1199 crore, indicating its potential. The issue appears to be fully priced based on FY24 annualized earnings. All other indicators are consistent, with the exception of the Lead Manager’s poor performance record. Investors may save money in expectation of medium- to long-term returns.