Ganesh Green Bharat IPO Opens for Bids: GMP, Price, and Lot Size Details

India IPO

Updated July 05, 2024

Ganesh Green Bharat initial public offering (IPO) is set to open for subscription on Friday, July 5. The IPO aims to raise Rs 125.23 crores

Ganesh Green Bharat IPO Opens for Bids: GMP, Price, and Lot Size Details

The Ganesh Green Bharat initial public offering (IPO) is now open for subscription starting Friday, July 5. This IPO aims to raise Rs 125.23 crores through a fresh issue of approximately 6.59 million shares.

The funds raised will be utilized for repaying debts, financing capital expenditures for new plant and machinery, meeting working capital needs, and general corporate purposes.

Founded in April 2016, Ganesh Green Bharat Limited specializes in electrical contracting services, focusing on supply, installation, testing, and commissioning (SITC) of solar and electrical products and services, primarily for government clients.

Key Details of Ganesh Green Bharat IPO:

Lot Size and Price:

The price band is set between Rs 181 and Rs 190 per share. The minimum application size is 600 shares, requiring a minimum investment of Rs 1,14,000 for retail investors. High Net Worth Individuals (HNIs) need to invest in at least 2 lots (1,200 shares), amounting to Rs 2,28,000.

Allotment and Listing:

The IPO opens on July 5, 2024, and closes on July 9, 2024. Allotment is expected to be finalized on July 10, 2024, with listing on the NSE SME slated for July 12, 2024.

Grey Market Premium (GMP):

According to Chittorgarh IPO, the latest grey market premium is Rs 200. With a price band of Rs 190, the estimated listing price is Rs 390, projecting a listing gain of 105.26% per share.

Lead Managers:

Hem Securities Limited is the book running lead manager, while Kfin Technologies Limited is the registrar. Hem Finlease is the market maker for this IPO.

Financial Performance:

Analysts at Hem Securities highlight the company's growth, with a CAGR of 27% from FY22 to FY24. The bottom line has grown at a CAGR of 95.53% over the same period, with an ROE of 46.42% and ROCE of 29.98% in FY24. Post-IPO, the company’s price to earnings multiple will be 23.33, with an earning per share of Rs 8.15.

As of March 31, 2024, Ganesh Green Bharat's order book includes 10 solar system and allied services work orders worth Rs 273.28 crore, 7 electrical contracting services work orders totaling Rs 26.45 crore, and 1 water supply scheme work order valued at Rs 14.23 crore. However, Hem Securities did not provide a rating for the IPO.