Interarch Building Products IPO: GMP jumps 43%; 6 Must-know facts from RHP

Interarch Building Products IPO Opens for Public Subscription on Monday, August 19, 2024. Here are the details from the RHP that you should know before considering subscribing to the public issue

Interarch Building Products IPO gmp: Shares of turnkey pre-engineered steel construction solutions provider, Interarch Building Products, are commanding a strong grey market premium (GMP) in the primary markets ahead of its opening for public subscription, scheduled for Monday, August 19, 2024.

Interarch is one of the leading turnkey pre-engineered steel construction solution providers in India, with integrated facilities for design and engineering, manufacturing, and on-site project management capabilities for the installation and erection of pre-engineered steel buildings (PEB). 

Here’s all you need to know about the Interarch Building Products IPO before subscribing to the issue:

Interarch Building Products IPO details

With this initial public offering, Interarch Building Products is offering a fresh issue of 2,222,222 shares aggregating up to Rs 200 crore and an offer for sale with the promoters and investors offloading up to 4,447,630 equity shares with a face value of Rs 10 apiece.

Among the promoters, Arvind Nanda is offloading 720,000 shares, Gautam Suri is selling up to 790,000 equity shares, Ishaan Suri is selling up to 539,930 equity shares, and Shobhna Suri is offloading up to 600,100 equity shares of the company. Meanwhile, from the investors’ group, OIH Mauritius Limited is offloading up to 1,797,600 equity shares of face value Rs 10 each.

The company has appointed Link Intime India as the registrar for the issue, while Ambit and Axis Capital are the book-running lead managers of the Interarch Building Products IPO.

Interarch Building Products promoters details

Interarch Building Products is led by promoters Arvind Nanda, who is also Managing Director, and Gautam Suri, who is a Whole-time Director of the company. Viraj Nanda and Ishaan Suri are Non-Executive Directors. As of the date of this Red Herring Prospectus, the promoters collectively hold 10,913,092 equity shares, which constitutes 75.71 per cent of the issued, subscribed, and paid-up share capital of the company.

Interarch Building Products IPO price band, lot size

Interarch Building Products IPO will be available at a price band of Rs 850 - 900 per share and a lot size of 16 shares. Accordingly, investors can bid for a minimum of 16 shares and a maximum of 208 shares (13 lots) of the company. The minimum amount required to bid for the Interarch Building Products IPO is Rs 14,400.

Interarch Building Products IPO GMP

According to several websites that track market activities, shares of Interarch Building Products are trading at a premium of around Rs 390-395 or 43 - 44 per cent from the upper end of the issue price. This GMP usually refers to tracking investor sentiment and the demand for the public issue.

Interarch Building Products financials

As per the RHP papers, the company’s revenue from operations has grown from Rs 834.94 crore in the financial year ended March 31, 2022, to Rs 1,293.30 crore in the financial year ended March 31, 2024, representing a CAGR of 24.46 per cent. Interarch Building Products' profit after tax has jumped to Rs 86.26 crore in FY24 from Rs 81.46 crore in FY23 and Rs 17.13 crore reported in FY22.

Interarch Building Products IPO allotment Date, listing date

As per the Red Herring Prospectus, the basis of allotment of Interarch Building Products IPO shares is scheduled for Thursday, August 22, 2024. Subsequently, the company's shares are likely to be credited into the demat account on Friday, August 23, 2024.

Shares of Interarch Building Products are likely to make their debut on the bourses on August 21, 2024. Interarch Building Products shares will list on both BSE and NSE.