SRM Contractors‘ ₹130.20 crore IPO is purely a fresh issue of 62 lakh equity shares. The IPO price band is fixed at ₹200 to ₹210 per share, with a minimum lot size of 70 shares. This translates to a minimum investment of ₹14,700 for retail investors. The IPO opened for subscription earlier today, March 26.

SRM Contractors IPO Subscription Status

The SRM Contractors IPO, which opened for subscription on March 26, 2024, and is set to close on March 28, 2024, was fully subscribed within hours of opening. As of 12:42 pm on the first day, the IPO has been subscribed 1.19 times. The retail investor category has been subscribed 1.01 times, while the non-institutional investors category has seen a subscription of 1.15 times. The Qualified Institutional Buyers (QIBs) category has been subscribed 1.54 times.

The IPO’s allocation structure reserves up to 50% of the shares for Qualified Institutional Buyers (QIBs), a minimum of 15% for Non-Institutional Investors (NIIs), and at least 35% for Retail Investors.

SRM Contractors IPO GMP

The SRM Contractors IPO GMP is reported at ₹82. The GMP, combined with the upper price band of ₹210 indicates a listing price of ₹292, around 40% premium. However, it’s crucial to remember that while GMPs can offer some insight into market sentiment towards an IPO, they should not be considered as the sole predictor of a stock’s performance upon listing.

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SRM Contractors IPO Details

The net proceeds from the SRM Contractors IPO will be used for prepayment or scheduled repayment of existing borrowings, financing working capital requirements, investing in Project Specific Joint Venture Projects, and addressing general corporate purposes.

Prior to the public subscription launch on March 26, 2024, the company successfully secured ₹39.06 crores from three anchor investors on March 22, 2024. Neomile Growth Fund – Series I was the largest institutional investor in the anchor book, picking up 9.05 lakh equity shares worth ₹19 crore, while Saint Capital Fund, and Astorne Capital VCC – Arven bought 4.77 lakh equity shares each worth ₹10 crore.

SRM Contractors, established in 2008, is a construction and development company primarily engaged in the construction of roads (including bridges), tunnels, slope stabilization works, and other construction activities in the Union Territories of Jammu and Kashmir and Ladakh.

SRM Contractors IPO Listing

The shares of SRM Contractors are tentatively scheduled to be listed on both the BSE and NSE on Wednesday, April 3, 2024.

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