NewsIPOSri Lotus Developers IPO Soars: 5.89 Times Oversubscribed on Day 2, Backed by Bollywood StarsSri Lotus Developers IPO Soars: 5.89 Times Oversubscribed on Day 2, Backed by Bollywood Stars
By ScanX News Team
Sri Lotus Developers and Realty Ltd.'s IPO has achieved 5.89 times oversubscription on its second day. The Rs 792 crore offering has attracted diverse investors, including Bollywood celebrities. Non-Institutional Buyers led with 7.76x subscription, while Qualified Institutions and Retail Investors both reached 5.39x. The company raised Rs 237 crore from anchor investors, with notable investments from Amitabh Bachchan, Shah Rukh Khan Family Trust, and Hrithik Roshan. The grey market premium suggests a potential listing price of Rs 192 per share.
*this image is generated using AI for illustrative purposes only.
Sri Lotus Developers and Realty Ltd.'s Initial Public Offering (IPO) has captured significant investor attention, achieving an impressive 5.89 times oversubscription on its second day. The real estate company's public offering, aimed at raising Rs 792 crore, has drawn interest from a diverse range of investors, including notable Bollywood personalities.
IPO Details
- Offering Size: 5.28 crore shares (fresh issue only)
- Price Band: Rs 140-150 per share
- Total Fundraising Target: Rs 792 crore
- Subscription Period: Three days, concluding on Friday
- Listing: BSE and NSE
Subscription Status (Day 2)
The IPO has witnessed strong demand across various investor categories:
| Investor Category | Subscription Rate |
|---|---|
| Qualified Institutions | 5.39x |
| Non-Institutional Buyers | 7.76x |
| Retail Investors | 5.39x |
| Overall | 5.89x |
Anchor Investment Highlights
Sri Lotus Developers successfully raised Rs 237 crore from anchor investors prior to the IPO launch. Notably, several Bollywood celebrities have made significant investments:
- Amitabh Bachchan: Purchased 6.7 lakh shares for Rs 10 crore
- Shah Rukh Khan Family Trust: Acquired 6.75 lakh shares for Rs 10.1 crore
- Hrithik Roshan: Bought 70,000 shares for over Rs 1 crore
Among institutional investors, Societe Generale-ODI received the highest allocation at 18.99%, followed by Tata Mutual Fund at 14.77%.
Grey Market Premium
The grey market is showing a premium of Rs 42, indicating a potential listing price of Rs 192 per share. This suggests positive sentiment surrounding the IPO.
Utilization of Funds
The company plans to use the IPO proceeds for:
- Funding subsidiaries for ongoing project development
- General corporate purposes
The strong response to Sri Lotus Developers' IPO, particularly from high-profile investors and institutions, underscores the current interest in the real estate sector. As the subscription window closes, all eyes will be on the final subscription figures and the subsequent market debut on the BSE and NSE.
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