Arkade Developers IPO Details, GMP +85

Arkade Developers IPO Summary

Mark your calendars! Arkade Developers IPO bidding opened for subscription on September 16, 2024 and will close on September 19, 2024. ₹121 and ₹128 per equity share of the face value of ₹10 for its ₹410-crore initial public offering. Just a heads up, you’ll need to invest in multiples of 110 shares, with a minimum of 110 shares for ₹14,080 and in multiples of 110 equity shares thereafter. Looking to get in early? Anchor investors can bid on Friday, September 13th. The floor price is 12 times the face value of the equity shares. The minimum lot size investment for sNII is 15 lots (1,650 shares), amounting to ₹211,200, and for bNII, it is 72 lots (7,920 shares), amounting to ₹1,013,760.

Arkade Developers IPO GMP, Grey Market Premium 2024

Arkade Developers IPO GMP as of 21 September 2024 is 65.

Arkade Developers Limited IPO subscription status

As 19 September 2024, 6:00 PM, the book build issue had been booked 81.81 times, the retail portion of the public offer had been booked 46.22 times, and the NII segment had been subscribed 134.86 times, Employee segment had been subscribed 42.35 times and the Qualified Institutional Buyer segment has been subscribed 105.31 times. subscription rate is good to invest.

Arkade Developers IPO Quota Allocation

Arkade Developers IPO offering will be distributed as follows:

• Up to 50% of the shares will be allocated to Qualified Institutional Buyers (QIBs). These are institutional investors such as banks, mutual funds, and insurance companies.
• A minimum of 15% of the shares will be reserved for Non-Institutional Investors (NII). These typically include high-net-worth individuals (HNIs) or corporate bodies investing more than ₹2 lakh.
• At least 35% of the offering will be available for retail investors. These are individual investors applying for shares with a total value of less than ₹2 lakh.

About Arkade Developers

Arkade Developers is a real estate development company. It is primarily involved in developing premium residential properties in Mumbai, Maharashtra. The company’s business activities can be divided into two categories: the development and construction of new residential projects on land acquired by the company and the redevelopment of existing properties. As of June 30, 2024, the company had developed 2.20 million square feet of residential property (including through partnership entities in which it holds the majority stake). Between 2017 and Q1 2024, the company has launched 1,220 residential units and sold 1,045 residential units in different markets in MMR, Maharashtra.

The revenue of Arkade Developers in fiscals 2024, 2023, 2022, and 2021 was ₹635 crore, ₹224.01 crore, ₹237.18 crore, and ₹113.18 crore, respectively. And the profit of Arkade Developers in fiscals 2024, 2023, and 2022 was ₹123 crore, ₹50.77 crore, and ₹50.84 crore, respectively.

Arkade Developers: A Rising Star in Mumbai’s Real Estate

Arkade Developers is a prominent real estate development company based in Mumbai, India. Renowned for its commitment to quality, innovation, and customer satisfaction, Arkade has carved a niche for itself in the competitive Mumbai real estate market.  

Key Features of Arkade Developers:

• Residential Projects: Arkade specializes in developing premium residential projects, catering to the diverse needs of homebuyers. Their offerings include luxury apartments, spacious homes, and gated communities.  
• Focus on Mumbai: The company primarily operates in Mumbai, leveraging its deep understanding of the local market and its unique challenges.  
• Quality Construction: Arkade is known for its attention to detail and commitment to delivering high-quality construction. They employ modern techniques and materials to ensure durability and comfort.
• Customer-Centric Approach: Arkade places a strong emphasis on understanding the needs and preferences of its customers. They strive to create living spaces that enhance their quality of life.  
• Sustainable Development: The company is committed to sustainable practices and incorporates eco-friendly features into its projects, such as energy-efficient designs and green spaces.

Recent Developments:

• IPO: Arkade Developers successfully completed its Initial Public Offering (IPO) in 2024, gaining significant traction from investors. This milestone marked a significant step in the company’s growth and expansion plans.  
• Project Launches: Arkade has been actively launching new residential projects in Mumbai, offering a variety of options to homebuyers.  

Overall, Arkade Developers has established itself as a reliable and innovative real estate player in Mumbai. With its focus on quality, customer satisfaction, and sustainable development, the company is well-positioned for continued success in the years to come.  

Arkade Developers’s Pros & Cons

1.    Pros

• Starting off with the construction of standalone residential buildings, the company has diversified, and its current portfolio includes gated communities such as Arkade Nest, Arkade Aspire, Arkade Prime, and Arkade Aura.
• Arkade Developers claims to have expanded its in-house capabilities, due to which it can now oversee every phase of project development-from conceptualisation to completion-covering land acquisition, legal matters, construction, and marketing and sales.
• The company has also established an integrated project management team in-house, focusing on improving procurement processes, vendor selection, and managing construction activities.

2.    Cons

• The company, its subsidiaries, promoters, and directors are involved in certain outstanding legal proceedings. Any adverse judgments in any of these cases could prove to be detrimental to the company’s business prospects.
• The company’s major revenue from operations relies on redevelopment projects and new projects. The former contributed 33.15% and 41.48% in FY24 and FY23 to the revenue from operations, respectively, while the latter contributed 66.85%, 58.52%, and 100% in FY24, FY23, and FY22, respectively, to revenue from operations. Any failure to identify suitable redevelopment projects or acquire land for new development can be detrimental to the company’s growth and business performance.
• The activities of Arkade Developers are concentrated entirely in the Mumbai Metropolitan Region (MMR). Any adverse developments in this location’s real estate, social, and political environment can negatively impact the business.
• Some of the company’s ongoing projects require approvals or permits. Any delay or failure to obtain them can extend the project timelines, which will harm the company’s operations and business prospects.
• As of June 30, 2024, the company had outstanding loans amounting to Rs 94.25 crore, respectively. Any inability to service or repay these loans could adversely affect the business.

Frequently Asked Questions

Q. What is the Bidding Start date of Arkade Developers IPO?

A. Arkade Developers IPO’s Bidding Start date is Monday, September 16^th 2024.

Q. What is the Bidding End date of Arkade Developers IPO?

A. Arkade Developers IPO’s Bidding End date is Thursday, September 19^th 2024.

Q. What is the price band of Arkade Developers IPO?

A. Arkade Developers IPO’s Price band is set to 121 to 128 per equity shares.

Q. What is the Lot Size of Arkade Developers IPO?

A. Arkade Developers IPO’s Lot Size is 110 Shares and multiple of 110 shares thereafter.

Q. What is the Share allotment date of Arkade Developers IPO?

A. Arkade Developers IPO’s Shares allotment date is Friday, September 20^th 2024.

Q. What is the Listing date of Arkade Developers IPO?

A. Arkade Developers IPO’s Listing date is Tuesday, September 24^th 2024.

Disclaimer

The information provided in this article about the Arkade Developers IPO is for informational purposes only and does not constitute financial advice. Finance Gurukul does not recommend investing in any specific securities or investment strategies.  It is important to conduct your own research and due diligence, and to consult with a qualified financial advisor before making any investment decisions.

Investing in the stock market involves inherent risks, and investors may lose some or all of their invested capital. Past performance is not necessarily indicative of future results.