Sri Lotus Developers and Realty Limited, a Mumbai-based real estate developer focused on ultra-luxury and luxury redevelopment projects in the western suburbs, has launched its Initial Public Offering (IPO), which opened for subscription on July 30, 2025, and will close on August 1, 2025. The company aims to raise ₹792 crore through a fresh issue of 5.28 crore shares, and there is no Offer for Sale (OFS) component in this IPO.

The IPO has garnered significant attention, with subscriptions reaching 2.63 times by 11:30 AM on Day 2 (July 31, 2025). This highlights strong investor interest in the company’s growth potential and its presence in Mumbai’s high-value real estate sector.

Company Overview

Sri Lotus Developers and Realty focuses on redevelopment in premium real estate micro-markets of Mumbai. Their projects fall in the ultra-luxury and luxury housing segments, targeting affluent urban clientele. The company strives to enhance customer lifestyles through quality, design, and timely execution.

Promoted by Anand Kamalnayan Pandit, a veteran of over 24 years in real estate, the company boasts a successful track record of delivering 12 projects (8 residential and 4 commercial) totaling 3.32 million sq. ft., executed through different entities. Mr. Pandit is a Builder Ratna Award (2016) recipient.

IPO Details

• IPO Open Date: July 30, 2025

• IPO Close Date: August 1, 2025

• Price Band: ₹140 to ₹150 per equity share

• Lot Size: 100 shares

• Minimum Investment (Retail): ₹15,000

• Minimum HNI Investment: 1,400 shares (₹2,10,000)

• Total Issue Size: ₹792 crore (100% Fresh Issue)

• Listing Date (Tentative): August 6, 2025

• Listing Exchanges: BSE & NSE

• Market Capitalisation at upper band: ₹7,330.64 crore

• BRLMs: Monarch Networth Capital Ltd., Motilal Oswal Investment Advisors Ltd.

• Registrar: KFIN Technologies Ltd.

Anchor Investors

On July 29, 2025, Sri Lotus Developers raised ₹236.99 crore through anchor investors, allocating 1,57,99,999 equity shares at ₹150 per share. The robust participation from marquee investors adds credibility to the issue.

Use of Proceeds

The net proceeds from the IPO will be used for:

1. Investment in subsidiaries for partial funding of the ongoing projects:

   • Amalfi (via Richfeel Real Estate Pvt. Ltd.)

   • The Arcadian (via Dhyan Projects Pvt. Ltd.)

   • Varun (via Tryksha Real Estate Pvt. Ltd.)
     Allocation: ₹550 crore

2. General corporate purposes

Grey Market Premium (GMP)

As of July 28, 2025, the Grey Market Premium (GMP) for Sri Lotus Developers and Realty IPO stood at ₹36, indicating a listing price expectation of ₹186 per share, translating to a 24.09% premium over the upper price band.

Note: GMP is unofficial and based on demand-supply in the grey market. It does not guarantee listing performance and is shared for informational purposes only.

Financial Performance

Sri Lotus Developers and Realty has shown consistent and significant revenue and profit growth over the past three financial years:

Key Ratios (FY 2023-24):

• Pre-Issue EPS: ₹5.51

• Post-Issue EPS: ₹4.65

• Pre-Issue P/E: 27.22x

• Post-Issue P/E: 32.24x

• Industry P/E: ~53x

• ROCE: 27.22%

• ROE: 24.39%

• RoNW: 24.39%

These metrics indicate that the IPO is fairly priced, offering scope for listing gains while maintaining valuation discipline.

IPO Allotment and Listing

• Allotment Date: August 4, 2025

• Expected Listing Date: August 6, 2025

Steps to Check IPO Allotment:

1. Visit the IPO allotment page of the registrar (KFIN Technologies)

2. Select "Sri Lotus Developers and Realty Limited IPO" from the dropdown

3. Enter application number, PAN, or DP ID

4. Click Submit to check status

Day-Wise IPO Subscription Status

As per BSE updates, the IPO has received a robust response across segments:

• Day 1 (July 30): Moderate interest across retail and NII categories

• Day 2 (July 31): Total subscription reaches 2.63x, indicating strong investor confidence

IPO Review – Apply for Listing Gains

Sri Lotus Developers and Realty offers a rare play in Mumbai's ultra-luxury redevelopment space, backed by strong promoter pedigree, a proven track record, and significant financial growth. The valuation appears attractive considering the GMP premium, solid EBITDA margin, and robust return ratios.

Our View:

• Investors looking for listing gains may consider applying to this IPO

• Long-term investors may monitor post-listing performance and project execution

Disclaimer:
This article is for informational and educational purposes only and does not constitute investment advice. Readers are advised to consult their financial advisors before making any investment decision. Investment in the stock market is subject to market risk. Read all documents carefully before investing.

The Upcoming IPOs in this week and coming weeks are BLT Logistics, Bhadora Industries, Highway Infrastructure, Flysbs Aviation, Parth Electricals & Engineering, Jyoti Global Plast, Essex Marine, Aaradhya Disposal Industries.

The Current active IPO are Cash Ur Drive Marketing, Renol Polychem, B.D. Industries (Pune), NSDL, Takyon Networks, Mehul Colours, M&B Engineering, Sri Lotus Developers & Realty, Aditya Infotech, Lakshmi India Finance, Kaytex Fabrics.

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