Deepak Builders IPO Opens on Oct 21-23, Price Band Set at ₹192-203

17 Oct 2024 , 09:31 AM

Deepak Builders and Engineers has announced a price band of ₹192 to ₹203 per share for its ₹260-crore initial public offering (IPO). The share sale, marking the engineering and construction company’s market debut, will open for subscription from October 21 to October 23. The anchor book for institutional investors will launch on October 18, a day ahead of the public offering.

The basis of allotment for the Deepak Builders and Engineers IPO is expected to be finalized on Thursday, October 24, with refunds initiated on Friday, October 25. Shares will be credited to the demat accounts of allottees on the same day as the refunds, and the stock is anticipated to list on the BSE and NSE on Monday, October 28.

The offering allocates approximately 50% for qualified institutional buyers, 35% for retail investors, and 15% for non-institutional investors. Investors can place bids for a minimum of 73 shares in one lot, with additional bids in multiples of that amount.

The company plans to issue 1.07 crore equity shares through a fresh issue, along with 21.1 lakh shares via an offer-for-sale. Promoters Deepak Kumar Singal and his wife will be selling shareholders in the offer-for-sale, holding nearly 100% of the company’s equity.

Currently, Deepak Builders and Engineers is engaged in 12 ongoing projects, divided equally between the construction and infrastructure segments. The company intends to allocate ₹30 crore from the net fresh issue funds to repay debt, ₹111.96 crore for working capital needs, and the remaining amount for general corporate purposes.

Fedex Securities serves as the sole book running lead manager for the IPO, while Kfin Technologies acts as the registrar to the offering.