Sri Lotus Developers IPO opens today: GMP up 29%; should you apply?

Veteran investor Ashish Kacholia is a shareholder in the company, along with celebrities such as Amitabh Bachchan, Shah Rukh Khan, Hrithik Roshan, Ekta Kapoor, Tiger Shroff, and others

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Sri Lotus Developers IPO opens for public subscription: residential and commercial properties developer Sri Lotus Developers & Realty is set to launch its initial public offering (Sri Lotus Developers IPO) today, July 30, 2025.

 

Notably, veteran market investor Ashish Kacholia is a stakeholder in the company. The other investors include actors like Amitabh Bachchan, Shah Rukh Khan, Hrithik Roshan, Ekta Kapoor, Tusshar Kapoor, Jeetendra, Tiger Shroff, Rakesh Roshan, Sajid Nadiadwala, and Manoj Bajpayee.

 

At the upper end, the company seeks to raise ₹792.00 crore from the public issue, which comprises an entirely fresh issue of 52.8 million equity shares.

 

Sri Lotus Developers has announced that it has already raised ₹237 crore from the anchor investors in the bidding concluded on July 23. The anchor book saw participation from Tata Mutual Fund, Mahindra Manulife Mutual Fund, Nippon Mutual Fund, Samsung India Mid & Small Focus Securities Master Investment Trust, Nuvama Asset Management Limited, HSBC Mutual Fund, SBI Mutual Fund, Citigroup Global Markets Mauritius, Nomura Singapore Limited, and Future Generali India Life Insurance Co. Ltd.

 

That said, the brokerages remain optimistic on the public offering of Sri Lotus Developers, citing the company’s strong growth, asset-light business model, and healthy return profile. However, before we delve into the brokerage calls, let’s have a look at the key details of Sri Lotus Developers IPO:

Sri Lotus Developers IPO price band, lot size

Sri Lotus Developers IPO is being offered at a price band of ₹140–150 per share, and a lot size of 100 shares. Thus, the investors can bid for a minimum of 100 shares and in multiples thereof.

 

A retail investor would require ₹15,000 to bid for one lot or 100 shares of Sri Lotus Developers IPO. A retail investor can, however, bid for a maximum of 13 lots or 1,300 shares of Sri Lotus Developers IPO with an investment of ₹1,95,000.  ALSO READ | NSDL IPO opens today, July 30: Analysts upbeat on fair valuation; should you subscribe?

Sri Lotus Developers IPO grey market premium (GMP)

The unlisted shares of Sri Lotus Developers were commanding a decent premium in the grey markets ahead of the opening of their public issue on Wednesday. Sources tracking unofficial market activity revealed that Sri Lotus Developers shares were trading at ₹194 apiece, reflecting a grey market premium (GMP) of ₹44 or 29.33 per cent over the upper price band of ₹150.

Sri Lotus Developers IPO allotment date, listing date

The three-day subscription window to bid for the Sri Lotus Developers IPO is likely to close on Friday, August 1, 2025. Following that, the basis of allotment of Sri Lotus Developers IPO shares is expected to be finalised on Monday, August 4, 2025, and shares will be credited to successful allottees’ demat accounts on Tuesday, August 5, 2025.

 

Shares of Sri Lotus Developers are set to make their D-Street debut tentatively on Wednesday, August 6, 2025.

Sri Lotus Developers IPO registrar, lead manager

KFin Technologies serves as the registrar for the Sri Lotus Developers IPO, while Monarch Networth Capital, and Motilal Oswal Investment Advisors are the book-running lead managers for the issue.

Sri Lotus Developers IPO objectives

The company proposes to utilise the proceeds from the public issue for the investment in the subsidiaries, Richfeel Real Estate, Dhyan Projects and Tryksha Real Estate, for part-funding development and construction cost of their ongoing projects — Amalfi, The Arcadian and Varun, respectively. The company will further deploy the proceeds for general corporate purposes.  ALSO READ | Lenskart files for IPO to raise ₹2,150 crore, eyes valuation of $10 billion

Should you subscribe to the Sri Lotus Developers IPO? Here’s what brokerages recommend

Anand Rathi Research - Subscribe for long-term

Analysts at Anand Rathi Research have recommended the investors to subscribe to the Sri Lotus Developers IPO for the long-term perspective citing its pricing.

 

Sri Lotus Developers, analysts said, holds a strong strategic position in the ultra-luxury and luxury residential real estate market of Mumbai’s Western Suburbs, one of the city's most premium micro-markets.

 

"At the upper price band, the company is valuing at P/E of 30.6x to its FY25 earnings, with EV/Ebitda of 24.5x and market cap of ₹7,330.6 crore post issue of equity shares. We believe that the IPO is fully priced and recommend a 'Subscribe – Long Term' rating to the IPO," wrote the analysts in a research note.

Deven Choksey Research - Subscribe

Those at Deven Choksey Research have assigned a Subscribe rating to the Sri Lotus Developers IPO. Analysts highlighted that the initial issue is priced at 24.5x FY25 Ebitda, higher than its peer average of 20.7x FY25 Ebitda.

 

"Given its strong growth, asset-light business model, and superior return profile, we believe the company deserves a premium over its peers and see value in its initial offering," said the analysts.

Reliance Securities - Subscribe

Brokerage firm Reliance Securities, in its report, has recommended the investors to subscribe to the public issue citing that the company presents a high-margin, capital-efficient play on Mumbai’s luxury housing boom.

 

The brokerage pointed out that the company has demonstrated exceptional financial scaling, with revenue growing 3.4× and profit after tax (PAT) expanding nearly 7.5× over FY23–FY25. EPS surged from ₹0.37 to ₹4.66, while fixed asset turnover improved sharply, highlighting efficient capital deployment.

 

"The company’s asset-light, redevelopment-driven model has delivered industry-leading margins and return ratios. Strong pricing power, a premium brand image, and robust project visibility position it well for sustained growth. Owing to such developments, we recommend subscribing to the public issue," said the brokerage in its report.

About Sri Lotus Developers & Realty

Sri Lotus Developers & Realty Ltd. is a Mumbai-based real estate development company focused on constructing premium and luxury residential and commercial projects. The company primarily operates in the western suburbs of Mumbai, targeting HNI and ultra-HNI individuals seeking luxury and ultra-luxury homes. Its core strategy is built on an asset-light business model centered around Redevelopment Projects and Joint Development Agreements (JDAs), allowing it to avoid outright land purchases and minimize capital intensity.