Suraj Estate Developers IPO: Realty construction company Suraj Estate Developers' IPO, worth an estimated Rs 400 crore, entered the last day of the bidding process on Wednesday, December 20. The Suraj Estate Developers IPO, which opened on December 18, is a book-built issue comprising fresh issuance of 1.1 crore shares.

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If you still haven't decided to whether invest in the IPO or not, here's what Zee Business Managing Editor Anil Singhvi suggests.

Should you apply for Suraj Estate Developers IPO?

Market wizard Anil Singhvi suggests applying for the IPO for a reasonable listing gain and from a long-term perspective. He has pointed out the following key points about the real estate company:

Positive

  • The real estate sector is in a bull run
  • Company promoters are experienced 
  • The niche segment of redevelopment projects
  • The company has an impressive financial track record
  • Valuations are reasonable 

Negative

  • The company focuses only on limited area in Mumbai
  • The market is highly competitive 
  • Finance costs are very high 

Suraj Estate Developers IPO subscription status

Suraj Estate Developers' share sale received bids for 12.8 crore shares as against the 82.4 lakh shares, a subscription of 15.65 times, the third and final day of the bidding process, according to provisional exchange data. 

Category Subscription (No. of times the equity reserved)
Qualified institutional buyers  24.31
Non-institutional investors 18.9
Retail investors 9.3
Overall 15.65
Source: Exchange data

Here are some of the key details to know about the Suraj Estate IPO: 

  • Suraj Estate Developers IPO allotment date: December 21 (tentatively)

  • Suraj Estate Developers IPO listing date: December 26 (tentatively)

  • Suraj Estate Developers IPO face value: Rs 5 per share

  • Suraj Estate Developers IPO price band: Rs 340 to Rs 360 per share

  • Suraj Estate Developers IPO lot size: 41 shares

What does Suraj Estate Developers IPO do?

Incorporated in 1986, Suraj Estate Developers is a real estate construction company that develops residential and commercial real estate in the South Central Mumbai region.

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