Latest news with #Kalpatru
News18
11 hours ago
- Business
- News18
Kalpataru IPO Opens: Flat Grey Market Premium, Tepid response; Check Details
Last Updated: The company has set a price band of Rs 387 to Rs 414 per share. The minimum application size for retail investors is one lot of 36 shares. Kalpataru IPO: Kalpataru Limited, one of Mumbai's well-known real estate developers, has launched its much-awaited Initial Public Offering (IPO) to raise Rs 1,590 crore. The issue, which is entirely a fresh issue of approximately 3.84 crore equity shares, opened for subscription on June 24, 2025, and will close on June 26, 2025. As of 10:18 AM on June 24, 2025, the Kalpataru IPO has received a lukewarm response on its opening day. Out of the total 2.28 crore shares offered, only around 2.09 lakh bids have been placed, marking an overall subscription of just 0.01 times. The retail individual investors (RII) segment has shown a slightly better interest, subscribing 0.04 times with over 1.64 lakh shares bid, mostly at the cut-off price. Kalpataru IPO Price Band The company has set a price band of Rs 387 to Rs 414 per share. The minimum application size for retail investors is one lot of 36 shares, which amounts to Rs 14,904 at the upper end of the price band. The tentative date for the IPO allotment is June 27, 2025, with listing likely on July 1, 2025, on both BSE and NSE. Kalpataru IPO GMP According to various market observers, the grey market premium of Kalpatru IPO stood at 1.21 per cent, indicating a flat listing. It is now in the range of Rs 4-5, over the cap price of IPO at Rs 414 per share. Investors bidding under the employee quota are being offered a discount of Rs 38 per share. For anchor investors, the IPO has already seen a strong response, with Rs 708.35 crore raised on June 23, 2025, a day before the issue opened to the public. The IPO is being managed by ICICI Securities, JM Financial, and Nomura Financial Advisory and Securities. MUFG Intime India Pvt Ltd is the registrar to the issue. Kalpataru is a part of the larger Kalpataru Group, with operations spread across cities like Mumbai, Pune, Hyderabad, Indore, and Bengaluru. The company is known for developing residential properties, commercial spaces, and townships. As of March 2024, it has completed 70 projects and is currently working on 40 more. While the company has a strong project pipeline, its financial performance has shown volatility. It posted a net loss of Rs 116.51 crore in FY24 and a bigger loss of Rs 229.43 crore in FY23. However, there is a positive sign—the company reported a turnaround in operating performance with an EBITDA of Rs 101.67 crore for the nine-month period ending December 2024. Kalpataru IPO Proceeds The IPO proceeds will primarily be used to repay or pre-pay certain borrowings worth Rs 1,192.5 crore, with the remaining funds set aside for general corporate purposes. After the IPO, the promoter holding will come down from 100% to 81.3%.
Mint
2 days ago
- Business
- Mint
Kalpataru IPO Day 1 Live: Here's GMP, subscription status to review. Apply or not?
The initial public offering (IPO) of Kalpatru has opened for subscription on Tuesday, June 24. The mainboard segment IPO will close on Thursday, June 26. The price band for the issue has been set between ₹ 387 and ₹ 414 per equity share, each having a face value of ₹ 10. The issue consists of equity shares amounting to ₹ 1,590 crore, with no Offer for Sale (OFS) component included. Kalpatru intends to use the net proceeds from the issuance for multiple purposes, including the full or partial repayment or prepayment of specific loans availed by itself and its subsidiaries, as well as for general corporate purposes. The company has reserved 75 per cent of the shares in its public offering for qualified institutional buyers (QIBs), 15 per cent for non-institutional investors (NIIs), and the remaining 10 per cent for retail investors. Qualified employees applying under the employee reservation category are eligible for a discount of ₹ 38 per equity share. Subscription for the public issue will open at 10:00 IST during Tuesday's deals. Brokerage firm Choice Broking has given 'subscribe for long-term' rating to Kalpataru IPO. ' At the higher price range, Kalpataru is seeking an EV/Sales multiple of 9.3×, which still trades at a discount compared to peer averages of around 12.5×. The company's strong brand allows it to command a premium pricing strategy, reflecting solid pricing power. However, a high debt load introduces financial prudence concerns. Thus, we recommend a 'Subscribe for long Term' rating for this issue.' Whereas, Gaurav Goel, Founder & Director at Fynocrat Technologies believes that given Kalpataru's current financial profile and limited visibility on sustained profitability, the IPO does not offer a compelling risk-reward trade-off. ' Kalpataru Ltd. is a well-known brand in the Mumbai Metropolitan Region with a sizeable land bank and an active project pipeline. However, it significantly lags behind peers on key metrics like Return on Equity (0.56%), and remains heavily concentrated in one region, limiting its diversification benefits. The company also carries a high debt load, which adds financial risk in a capital-intensive sector. In contrast, listed peers like Oberoi Realty and Godrej Properties offer stronger execution track records, better geographic spread, and healthier return ratios,' Goel said. Kalpataru's IPO is a book-built offering valued at ₹ 1,590 crores, consisting entirely of a fresh issuance of 3.84 crore equity shares. The price band for Kalpataru Limited's IPO has been set between ₹ 387 and ₹ 414 per equity share, each having a face value of ₹ 10. The basis of allotment for the Kalpataru IPO is expected to be finalized on Friday, June 27. Refunds to unsuccessful applicants will likely begin on Monday, June 30, with shares being credited to the demat accounts of successful allottees the same day. Kalpataru shares are anticipated to be listed on the BSE and NSE on Tuesday, July 1. ICICI Securities Limited, JM Financial Limited, and Nomura Financial Advisory and Securities (India) Pvt Ltd are acting as the book running lead managers for the Kalpataru IPO, while MUFG Intime India Private Limited (Link Intime) is appointed as the registrar for the offering. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
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Business Standard
2 days ago
- Business
- Business Standard
Kalpataru invites bids for ₹1,590 cr IPO: GMP flat, should you subscribe?
Kalpataru IPO: The Mumbai-based real estate firm Kalpataru's initial public offering (IPO) opens for public subscription today, Tuesday, June 24, 2025. At the upper price band, the company seeks to raise ₹1,590 crore from the public offering. Ahead of the opening of the issue, Kalpataru has already raised ₹708 crore from nine anchor investors at the upper price band of ₹414 per equity share. As the public issue opens for bidding, here are the key details of the Kalpataru IPO: Kalpataru IPO is a book-built issue comprising an entirely fresh issue of 38.4 million equity shares, aggregating up to ₹1,590 crore. The public offering does not have any offer-for-sale (OFS) component. The company has reserved not more than 50 per cent of the net offer for qualified institutional buyers, not less than 35 per cent for retail investors, and not less than 15 per cent for non-institutional investors. Kalpataru IPO lot size, price band Kalpataru IPO is available at a price band of ₹387-414 per share, with a lot size of 36 shares. Accordingly, investors can bid for a minimum of one lot or 36 shares of Kalpataru and in multiples thereof. The minimum amount required by a retail investor to bid for the IPO is ₹14,904. A retail investor can bid for a maximum of 13 lots or 468 shares, amounting to ₹1,92,096. Kalpataru IPO grey market premium (GMP) The unlisted shares of Kalpataru were commanding a modest premium in the grey market ahead of the opening of the public issue. Sources tracking unofficial market activities revealed that Kalpataru shares were seen trading at around ₹419 per share, reflecting a grey market premium (GMP) of ₹5 or 1.2 per cent over the upper end of the issue price. Kalpataru IPO allotment date, listing date The three-day subscription window to bid for the issue will conclude on Thursday, June 26, 2025. Following the closure of the subscription window, the basis of allotment of shares is likely to take place on Friday, June 27, 2025. Shares of Kalpataru are scheduled to make their D-street debut on Tuesday, July 1, 2025, by listing on the BSE and NSE. Kalpatru IPO objective As per the Red Herring Prospectus (RHP), the company intends to use the net issue proceeds for repayment or pre-payment, in full or in part, of certain borrowings availed by itself and its subsidiaries. Kalpataru IPO registrar, lead managers MUFG InTime India (formerly Link InTime India) serves as the registrar for the public offering. The book-running lead managers for the public offering include ICICI Securities, JM Financial, and Nomura Financial Advisory and Securities. Should you subscribe to the Kalpataru IPO? Bajaj Broking - Subscribe for long-term According to analysts at Bajaj Broking, Kalpataru posted a bumper top line for fiscal 2022-23 (FY23) following a special land parcel deal arrived at. The group enjoys a niche place as a realty developer in the Mumbai Metropolitan (MMR) region. It issued equity shares worth ₹400 crore to promoters at a price of ₹517.25 in March 2025. The company has turned the corner for the first nine months of FY25 and the management is confident of further improvements in its financial performance in coming years considering the projects on hand. "Though prima-facie the issue appears aggressively priced, well-informed investors may park funds for the long term," the brokerage said in its note.
