Arkade Developers' IPO Opens Sep 16: Price Band Rs 121-128

New Delhi, Sep 10 (PTI) Real estate developer Arkade Developers Ltd on Tuesday said it has fixed a price band of Rs 121 to Rs 128 per share for its Rs 410-crore initial public offering.

The initial share sale will open for public subscription on September 16 and conclude on September 19 and the bidding for anchor investors will open for a day on September 13, the company announced.

The maiden public issue is entirely through a fresh issue of equity shares worth Rs 410 crore with no offer-for-sale (OFS) component.

Brokerage houses have pegged the company's valuation to over Rs 2,300 crore post-issue.

Proceeds from the issue will be used for development of the company's ongoing as well as upcoming projects; and funding acquisition of future real estate projects and general corporate purposes.

Arkade Developers is a fast-growing real estate development company with a significant presence in Mumbai. As of July 31, 2023, it has developed 1.80 million square feet of residential property, including through partnership entities in which Arkade holds the majority stake.

Between 2017 and Q1 2023, the company launched 1,040 residential units and sold 792 residential units in different markets in the Mumbai Metropolitan Region (MMR) in Maharashtra.

Arkade Developers' revenue in fiscal 2023, fiscal 2022 and fiscal 2021 stood at Rs 224.01 crore, Rs 237.18 crore and Rs 113.18 crore, respectively.

The company said that half of the issue size has been reserved for qualified institutional buyers, 35 per cent for retail investors and the remaining 15 per cent for non-institutional investors. Further, investors can bid for a minimum of 110 shares and in multiples thereof.

Unistone Capital is the sole book-running lead manager (BRLM) to the issue. The equity shares of the company are expected to be listed on the BSE and NSE on September 24.