Tue Oct 22 15:17:26 UTC 2024: **Summary of Deepak Builders & Engineers IPO News Article:**

1. **Strong Investor Response:** The IPO of Deepak Builders & Engineers India received significant interest, being over 4 times subscribed on its first day of bidding, which started on October 21, and had reached 8.86 times by the second day.

2. **IPO Details:**
– The company set a price band of Rs 192-203 per share and aims to raise Rs 260 crore, with Rs 217.21 crore from fresh shares and an offer-for-sale of 21.10 lakh equity shares.
– Bidding will close on October 23.

3. **Subscription By Investor Types:**
– Retail investors subscribed 12.56 times.
– Non-institutional investors (NIIs) subscribed 11.31 times.
– Qualified institutional bidders (QIBs) only reached 53% of their quota.

4. **Company Background:** Deepak Builders, founded in September 2017, specializes in various construction sectors, including administrative and industrial buildings and infrastructure projects.

5. **Market Premium and Analyst Views:** The grey market premium (GMP) is currently Rs 60-62, indicating potential listing gains of over 30%. Analysts recommend subscribing for long-term investment due to strong market demand and growth potential but caution regarding risks like reliance on government contracts and project delays.

6. **Financial Performance:** As of June 30, 2024, the company reported a net profit of Rs 14.21 crore on revenues of Rs 106.34 crore. For FY24, net profit reached Rs 60.41 crore with revenues of Rs 516.74 crore.

7. **Anchor Investors:** Prior to the IPO, Deepak Builders raised Rs 78.01 crore from five anchor investors at Rs 203 per share.

8. **Listing Information:** Shares will be listed on both BSE and NSE, with the tentative listing date set for October 28.

9. **Future Prospects:** The company has a robust order book worth Rs 1,380.39 crore, positioning it well to benefit from government infrastructure initiatives.

10. **Management and Oversight:** Fedex Securities is the sole book-running lead manager, and Kfin Technologies is the registrar for this IPO.

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