Wed Oct 09 02:33:49 UTC 2024: ## Garuda Construction IPO Oversubscribed on Day 1, Trading at a Premium in Grey Market
**Mumbai, October 9, 2023:** The initial public offering (IPO) of Garuda Construction and Engineering, which opened for bidding on Tuesday, October 8, was oversubscribed 1.91 times on the first day.
The issue received bids for 3,80,15,666 shares, exceeding the offered 1,99,04,862 shares. The retail portion was particularly strong, receiving 3.43 times the subscription, while non-institutional investors subscribed 1.10 times. However, the qualified institutional buyer portion was subscribed just 0.02 times.
The IPO, which will close on Thursday, October 10, is expected to raise up to ₹264.10 crore at the upper end of the price band, set between ₹90 and ₹95 per share.
Prior to the IPO opening, Garuda Construction raised ₹75 crores from anchor investors, including AG Dynamic Funds Trust Mutual Fund, Maybank Securities, and Cognizant Capital Dynamic Opportunities Fund.
The IPO is generating strong investor interest, with the shares currently trading at a premium of ₹5 in the grey market. This suggests that investors are willing to pay more than the issue price, and the estimated listing price is likely to be around ₹100, a 5.26 per cent increase compared to the IPO price.
The IPO includes a fresh issue of up to 18.3 million equity shares and an offer for sale of up to 9.5 million equity shares. Investors can place bids for a minimum of 157 equity shares.
Corpwis Advisors Private Ltd is the sole lead manager, while Link Intime India Private Ltd serves as the registrar for the issue.
First Piper 