Deepak Builders & Engineers IPO: Day 1 Subscription Soars to 2.63 Times!

Deepak Builders & Engineers' initial public offering (IPO) has garnered moderate investor interest on its opening day. The IPO witnessed a steady demand, resulting in a 2.63 times oversubscription by 2:39:10 PM on day one. This response indicates a positive initial sentiment towards Deepak Builders & Engineers' shares, setting the stage for the remaining days of the subscription period.

The IPO, which opened on 21st October 2024, has seen varied interest across investor categories. The Retail Investors segment has shown strong demand, followed by solid interest from Non-Institutional Investors (NII). However, the Qualified Institutional Buyers (QIB) have shown minimal participation as of the latest update.

This initial response to Deepak Builders & Engineers' IPO comes amid the ongoing sentiment in the Indian stock market towards companies in the construction and infrastructure sector. The company's specialization in administrative, institutional, and industrial buildings appears to have resonated with retail investors looking for exposure to India's growing construction industry.
 

Subscription Status of Deepak Builders & Engineers IPO for Day 1 (21st October 2024):

Here are the subscription details for Deepak Builders & Engineers IPO as of Day 1 (21st October 2024, 2:39:10 PM):

Total Applications: 233,971

Note: The total amount is calculated based on the upper price of the issue price range.

Key Highlights:

• Deepak Builders & Engineers IPO is currently subscribed 2.63 times, with strong demand from Retail Investors.
• Retail investors have shown significant interest, with a subscription ratio of 4.28 times.
• Non-Institutional Investors (NII) have demonstrated solid enthusiasm, with a subscription ratio of 2.27 times.
• Small Non-Institutional Investors (sNII) have shown particularly strong interest with a subscription ratio of 3.47 times.
• Qualified Institutional Buyers (QIB) have shown minimal interest so far, with a subscription ratio of 0.00 times.
• The overall subscription trend on Day 1 indicates positive retail and NII sentiment towards the issue.

About Deepak Builders & Engineers India Limited

Deepak Builders & Engineers India Limited, incorporated in September 2017, is a construction company specializing in administrative, institutional, and industrial buildings, hospitals, stadiums, residential complexes, and other construction activities. The company has completed turnkey projects encompassing architectural, structural, civil, MEP, firefighting systems, public health services, IT systems, operation theaters, medical gas pipelines, and landscaping.

For the fiscal year 2024, Deepak Builders & Engineers demonstrated strong financial performance with a revenue of ₹516.74 crore, marking a 19% year-over-year growth, and a Profit After Tax (PAT) of ₹60.41 crore, representing a significant 182% increase. The company's net worth stood at ₹141.25 crore as of March 31, 2024. Key performance indicators highlight the company's financial health, with a Return on Equity (ROE) of 8.48%, a Return on Capital Employed (ROCE) of 8.97%, and a PAT Margin of 13.52%.

As of 30th June 2024, the company's order book amounted to ₹1,380.39 crore. Deepak Builders & Engineers has completed projects in four states of India - Punjab, Haryana, Rajasthan, Uttarakhand - and two Union Territories - Chandigarh and the National Capital Territory of Delhi. As of 30th June 2024, the company had 632 permanent employees and 2,129 contract labourers.

Read more about Deepak Builders & Engineers India IPO

Highlights of the Deepak Builders & Engineers IPO

• IPO Date: 21st October 2024 to 23rd October 2024
• Listing Date: 28th October 2024 (Tentative)
• Face Value: ₹10 per share
• Price Band: ₹192 to ₹203 per share
• Lot Size: 73 Shares
• Total Issue Size: 12,810,000 shares (aggregating up to ₹260.04 Cr)
• Fresh Issue: 10,700,000 shares (aggregating up to ₹217.21 Cr)
• Offer for Sale: 2,110,000 shares (aggregating up to ₹42.83 Cr)
• Issue Type: Book Built Issue IPO
• Listing At: BSE, NSE
• Book Running Lead Manager: Fedex Securities Pvt Ltd
• Registrar: Kfin Technologies Limited