About Garuda Construction and Engineering:
They are a civil construction and engineering company based in Mumbai, offering end-to-end civil construction services for residential, commercial, mixed-use, infrastructure, and industrial projects. In addition, they provide operations and maintenance (O&M) services, as well as Mechanical, Electrical, and Plumbing (MEP) services, along with finishing works as part of their construction offerings. Thus, they deliver comprehensive construction services under their banner.
About the Industry in which Garuda Construction and Engineering operates:
The company operates within the construction industry, which stands as the second-largest economic sector in the country after agriculture. In FY23, the construction sector contributed 8.4% to the national Gross Value Added (GVA) at constant prices. The order books of construction companies rely heavily on capital expenditure within the economy, with investments generally classified into infrastructure, real estate, and industrial construction. Rising infrastructure demand and government initiatives highlight India’s potential to become the third-largest construction market globally. Between FY18 and FY23, the Indian construction sector grew at a compound annual growth rate (CAGR) of 10.6%, increasing from Rs. 2,375 billion to Rs. 3,922 billion. Looking forward, the sector is projected to grow from Rs. 3,922 billion in FY23 to Rs. 6,494 billion by FY30, at a CAGR of 7.5%. Historically, infrastructure development across sectors such as roads, highways, telecom, airports, ports, power, oil and gas, and railways has dominated investment in the industry. By 2030, the construction sector is expected to contribute 15% to India’s economy.
| Important Information and Timelines of the IPO of Garuda Construction and Engineering: | |
|---|---|
| Open Date | 8 October 2024 |
| Close Date | 10 October 2024 |
| Total Issue Size – Number of Shares | 27800000 |
| Minimum Bid Price | 92 |
| Maximum Bid Price | 95 |
| Lot Size | 157 |
| Basis of Allotment | 11 October 2024 |
| Initiation of Refunds and Credit of Shares to Demat | 14 October 2024 |
| Listing Date | 15 October 2024 |
| Listing Exchange(s) | NSE and BSE |
Minimum and Maximum Lot Sizes for the IPO of Garuda Construction and Engineering:
| Category | Lots | Shares | Amount (in ₹) |
|---|---|---|---|
| Retail – Minimum | 1 | 157 | 14915 |
| Retail – Maximum | 13 | 2041 | 193895 |
| sHNI – Minimum | 14 | 2198 | 208810 |
| sHNI – Maximum | 67 | 10519 | 999305 |
| bHNI – Minimum | 68 | 10676 | 1014220 |
Objective of the IPO of Garuda Construction and Engineering:
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Funding the working capital requirement of the Company.
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General corporate purposes including unidentified inorganic acquisition.
Financials of Garuda Construction and Engineering:
| Particulars | April 30, 2024 | March 31, 2024 | March 31, 2023 | March 31, 2022 |
|---|---|---|---|---|
| Equity Share Capital | 3,737.09 | 3,737.09 | 1,245.70 | 1,245.70 |
| Other Equity | 8,513.72 | 8,163.55 | 7,015.48 | 2,933.34 |
| Net Worth | 12,250.81 | 11,900.64 | 8,261.18 | 4,179.04 |
| Revenue from Operations | 1,187.50 | 15,417.83 | 16,068.76 | 7,702.08 |
| EBITDA | 470.81 | 5,008.56 | 5,599.17 | 2,716.85 |
| EBITDA Margin | 39.65% | 32.49% | 34.85% | 35.27% |
| Profit After Tax | 350.17 | 3,643.53 | 4,079.53 | 1,878.22 |
| PAT Margin | 29.49% | 23.63% | 25.39% | 24.39% |
| Restated Total Comprehensive Income | 350.17 | 3,639.46 | 4,082.14 | 1,878.05 |
| Earnings per Equity Share | 0.47 | 4.87 | 5.46 | 2.51 |
| Net Asset Value per Equity Share | 16.39 | 15.92 | 11.05 | 5.59 |
| Total Borrowings | 14.82 | 15.18 | 19.29 | 1,199.02 |
For more details on the IPO, refer to the DRHP here.
Did you know that you can now Pre-Apply for an IPO on Dhan? You can place your IPO Bid on Dhan and the order will be pushed to the Exchange as soon as the Bidding starts for Garuda Construction and Engineering. You will receive a UPI mandate after 10:00 AM on 8 October 2024.
###1. How to apply for the IPO of Garuda Construction and Engineering on Dhan?
You can apply for the IPO of Garuda Construction and Engineering from either Dhan Mobile App or Web
On Dhan Mobile App you can find the IPO under the Money Section > IPO Tab
On Dhan Web you can find the IPO under Markets Tab > IPOs
###2. In case of successful allotment, when the IPO shares of Garuda Construction and Engineering be visible on Dhan?
The CDSL will intimate you regarding the credit of shares into your Demat account by 14 October 2024. However, you will be able to see the shares of Garuda Construction and Engineering on Dhan before the market starts on the listing date which is 15 October 2024.