Sri Lotus Developers and Realty Stock Jump Over 19% in Market Debut

Shares of Sri Lotus Developers and Realty, backed by Bollywood stars and renowned investor Ashish Kacholia, on Wednesday listed with a premium of more than 19% against the issue price of ₹150.

The company's stock is listed at ₹179.10, a jump of 19.4% from the issue price on the BSE. Later, it rose by 22.27% to trade at ₹183.40 on the exchange.

On the NSE, it climbed 18.67% to ₹178 in the initial trade. Later, it jumped 22.37% to trade at ₹183.70 apiece.

The company's market valuation stood at ₹8,971.01 crore on the NSE.

The ₹792 crore Initial Public Offering (IPO) was subscribed 69.14 times on the final day of bidding on Friday.

Sri Lotus Developers on Tuesday raised ₹237 crore from institutional investors.

The company has fixed a price band of ₹140-150 per share for the IPO.

Its IPO is entirely a fresh issue of shares worth ₹792 crore with no Offer For Sale (OFS) component.

Proceeds from the fresh issue will be used for investment in its subsidiaries, Richfeel Real Estate Pvt Ltd, Dhyan Projects Pvt Ltd and Tryksha Real Estate Pvt Ltd for part-funding the development and construction cost of its ongoing projects, Amalfi, The Arcadian and Varun, respectively; besides, a portion will be used for general corporate purposes.

The Anand Kamalnayan Pandit-promoted company is a real estate developer engaged in the construction of residential and commercial premises in Mumbai, Maharashtra, with a focus on redevelopment projects in the ultra luxury and luxury segments in the western suburbs.