Shriram Properties Limited is one of the leading residential real estate development companies in South India, primarily focused on the mid-market1 and affordable2 housing categories. The Company is among the five largest residential real estate companies in South India, including specifically in Bengaluru and Chennai, in terms of number of aggregate units launched in the calendar years 2012 to 2017 and the six months ended June 30, 2018
Let’s have a detailed review of the company and analytics of the Shriram Properties Limited IPO release date, IPO offer price, subscription, Shriram Properties Limited IPO allotment, grey market price and other details like the company’s background, its financial positions, its promoters and other related things.
Shriram Properties Limited IPO Review & Ratings
| IPO Ratings & Review | |
| Criteria | Ratings |
| Industry Sentiments | 8.5/10 |
| Industry Ranking | 7.8/10 |
| Company Background | 7.9/10 |
| Company Reputation | 7.9/10 |
| Competitive Edge | 7.7/10 |
| Financial Statements | 7.8/10 |
| Popularity Index | 8.4/10 |
| Promoters Reputation | 7.7/10 |
| Retail Appetite | 7.9/10 |
| Top Brokers Review | 7.9/10 |
| Overall Ratings | 8.1/10 |
| Star Ratings | ★★★★☆ |
Summary of Shriram Properties Limited IPO
Shriram Properties Limited is a part of the Shriram Group, which is a prominent business group with four decades of operating history in India and a well-recognized brand in the retail financial services sector and several other industries. It has Initial public offer of up to [●] Equity Shares of Rs. 10 each .
From FY 2013-14 to FY 2016-2017, as per the Restated Financial Statements,
- The EBITDA and company in Financial Year 2017- 18 was 3,184.20 and 85.76 as compared to 3,492.64 and (68.08) in Financial Year 2018-17.
- The Net Asset Value per Equity Share as at September 30, 2018, March 31, 2018 and March 31, 2017 6 was 33,174.21 31,738.56 and 25,311.99 respectively.
- Our Net Profit as per Standalone Restated Financial Statement as at September 30,2018, March 31, 2018, March 31, 2017 and March 31, 2016 was Rs. 437.84 Millions, Rs. 3,492.64 Millions, Rs.(68.08) Millions and Rs. (5,000.10) Millions respectively.
The Promoters of this company are M. Murali, Shriram Properties Holdings Private Limited and Shriram Group Executives Welfare Trust. The lead manager to the issue is Axis, Edelweiss, JM Financial and Nomura and the Registrar to this issue is Karvy Fintech Private Limited.
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Shriram Properties Limited IPO Date
The opening and the closing date of Shriram Properties Limited IPO is not known yet.
Shriram Properties Limited IPO Subscription
| Day / Date | QIB | NII | RII | Total Subscription |
| Day 1 | ||||
| Day 2 | ||||
| Day 3 | ||||
| Day 4 | ||||
| Day 5 | ||||
| Shares Offered or Net Issue |
The shares subscribed by the public will be updated herein on a daily basis, once the IPO is open for subscription.
Shriram Properties Limited IPO Allotment Status
Here, you can find the Allotment Status of this IPO.
Shriram Properties Limited IPO Price Band
The face value of each share is Rs 10, but the price band of the IPO is not yet disclosed.
Shriram Properties Limited IPO Equity Share Offering
Initial public offer of up to 26,00,000 Equity Shares of Rs. 10 each, at an Offer Price of Rs. [●] per Equity Share.
Shriram Properties Limited – Company Overview
Shriram Properties Limited are one of the leading residential real estate development companies in South India, primarily focused on the mid-market1 and affordable2 housing categories. We are among the five largest residential real estate companies in South India, including specifically in Bengaluru and Chennai, in terms of number of aggregate units launched in the calendar years 2012 to 2017 and the six months ended June 30, 2018 . Th Company are also present in the mid-market premium3 and luxury4 housing categories, commercial and office space category as well as plotted development category.
The Company is promoted by M. Murali, Shriram Properties Holdings Private Limited and Shriram Group Executives Welfare Trust and each of their promoters are having good industrial exposure.
Competitive Strengths of Shriram Properties Limited:
- Continued Focus on Mid-Market and Affordable Housing Categories
- Continued Focus on Key Cities in South India
- Focus on our Asset Light Business Model, Primarily through Development Management
- Develop and Monetize our Project in Kolkata
- Build Scale, Consolidate Position and Enhance our Execution Capabilities to Capitalise on Industry Opportunity
- Continued Focus on Relationships with Financial Investors Including Additional Platform Arrangements
Business strategies of Shriram Properties Limited:
- Continued Focus on Mid-Market and Affordable Housing Categories
- Continued Focus on Key Cities in South India
- Focus on our Asset Light Business Model, Primarily through Development Management
- Develop and Monetize our Project in Kolkata
Shriram Properties Limited – Financial Statements
A quick look into the past financial performance of the company to understand its performance of business and evaluate the growth prospectus:
Financial Summary:
On the basis of Standalone statement:-
| Amount (in INR & Millions) | ||||
| 30-Sept-18 | 31-Mar-18 | 31-Mar-17 | 31-Mar-16 | |
| Total Assets | 33,174.21 | 31,738.56 | 25,311.99 | 26,451.14 |
| Total Revenue | 3,125.16 | 4,201.07 | 3,533.08 | 5,746.92 |
| Total Expense | 3,313.67 | 4,494.05 | 5,158.94 | 10,511.82 |
| Profit After Tax | 437.84 | 3,492.64 | (68.08) | (5,000.10) |
Earnings per Equity Share (in INR Million)
| 30-Sept-18 | 31-Mar-18 | 31-Mar-17 | |
| Basic & Diluted | 2.97 | 23.57 | 0.19 |
From the above statements, one could find that the Shriram Properties Limited may perform well.
Shriram Properties Limited IPO – Promoters
The Promoters of this company are:
- M. Murali, Shriram Properties Holdings Private Limited
- Shriram Group Executives Welfare Trust
Interest in promotion of the Company
Company is currently promoted by the Promoters in order to carry on its present business. Promoters are interested in the Company to the extent of their shareholding and directorship of the Individual Promoter in the Company and the dividend declared, if any, by the Company. The Promoters are interested in the transactions entered into the Company and the Promoter Group.
Property Interest
The promoters along with the promoter group will continue to hold collectively some percentage of the equity share capital of the company. As a result of the same, they will be able to exercise significant influence over the control of the outcome of the matter that requires approval of the majority shareholders vote.
Interest in Intellectual Rights of the Company
Promoters has not shown any interest in acquiring the intellectual rights of the company.
Shriram Properties Limited IPO Offer Details or Issue Details
| Particulars | No. Of Equity Shares |
| Equity Shares Offered | Up to Equity Shares, aggregating up to Rs.[●] million |
| Of which: | |
| Fresh Issue | Up to [●] Equity Shares, aggregating up to Rs.2,500 million |
| Offer for sale | Up to 42,403,271 Equity Shares, aggregating up to Rs.[●] million |
| Of which: | |
| QIB Portion | Not less than [●] Equity Shares |
| Of which | |
| Available for allocation to Mutual Funds only (5% of the QIB portion) (Excluding the Anchor Investor Portion) | Up to [●] Equity Shares |
| Balance for all QIBs including Mutual Funds | [●] Equity Shares |
| Retail Investors Portion | Not more than [●] Equity Shares |
| Non-Retail Investors Portion | Not more than [●] Equity Shares |
| Equity Shares outstanding prior to the Issue | 148,411,448 Equity Shares |
| Equity Shares outstanding after the Issue | [●] Equity Shares |
Shriram Properties Limited IPO Issue Object
These are the IPO Issue Objects of the company
- Repayment and/ or pre-payment, in full or part, of certain borrowings availed by our Company, our Subsidiaries, Shriprop Structures, Global Entropolis and Bengal Shriram; and
- General corporate purposes, subject to applicable laws
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Shriram Properties Limited IPO – Basis of the Offer Price
The issue price is determined by the company in consultation with the Lead manager on the basis of the following qualitative and quantitative factors.
Qualitative factors are:
- Part of the Shriram Group and Backed by Marquee Investors
- One of the Leading Residential Real Estate Development Companies in South India with Focus on Mid-market and Affordable Housing Categories
- Demonstrated Capabilities in Project Identification and Strong Execution Track Record
- Established Strategic Relationships
- Scalable and Asset Light Business Model supported by our Strong Financial Position
- Well Positioned to Benefit from Regulatory and Industry Developments
- Experienced and Professional Management Team
The relevant quantitative factors are:
| Basic & Diluted EPS | RONW (%) | NAV (Rs.) | |
| 31-Mar-16 | -33.69 | – | 66.59 |
| 31-Mar-17 | 0.19 | 0.45 | – |
| 31-Mar-18 | 23.57 | 35.93 | – |
- Competitive Peers:
| Sr. No. | Particulars | Face Value (in Rs.) | Basic EPS (In Rs.) | P/E Ratio | RONW in % |
| 1 | Sobha Limited | 10 | 22.68 | 22.40 | 7.83 |
| 2 | Prestige Estates Projects Limited | 10 | 9.90 | 29.10 | 8.97 |
| 3 | Brigade Enterprises Limited | 10 | 10.40 | 23.58 | 5.81 |
| 4 | Godrej Properties Limited | 5 | 10.86 | 66.84 | 10.49 |
| 5 | Oberoi Realty Limited | 10 | 13.51 | 37.64 | 7.53 |
| 6 | Sunteck Realty Limited | 1 | 16.74 | 25.30 | 8.52 |
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Shriram Properties Limited IPO Lead Managers
| Lead Managers |
| Axis Capital Limited
Edelweiss Financial Services Limited JM Financial Limited Nomura Financial Advisory and Securities (India) Private Limited |
Shriram Properties Limited IPO Registrar to offer
| Registrar to the Offer |
| Karvy Fintech Private Limited# Karvy Selenium, Tower B Plot No. 31 & 32, Financial District Nanakramguda, Serilingampally, Hyderabad Rangareddi-500 032, Telangana, India Tel: +91 40 6716 2222 E-mail: [email protected] Investor grievance e-mail: [email protected] Website: www.karvyfintech.com Contact Person: M. Murali Krishna |
Other Details:
- Statutory Auditor – Walker Chandiok & Co LLP
- Bankers to the Company – HDFC Bank Limited, RBL Bank Limited ,Syndicate Bank
Shriram Properties Limited IPO Review by Top 10 Stock Brokers
| Top Stock Brokers Review | Company Reputation | Competitive Edge | Financial Statement | Popularity Index | Promoters Reputation |
| Angel Broking | 7.5/10 | 7.4/10 | 8.5/10 | 8.1/10 | 7.1/10 |
| Sharekhan | 7.2/10 | 7.1/10 | 8.6/10 | 8.1/10 | 7.2/10 |
| Kotak Securities | 7.3/10 | 7.5/10 | 8.4/10 | 8.1/10 | 7.3/10 |
| ICICI Direct | 7.3/10 | 7.3/10 | 8.7/10 | 8.1/10 | 7.1/10 |
| IIFL | 7.5/10 | 7.2/10 | 8.8/10 | 8.0/10 | 7.1/10 |
| Edelweiss | 7.5/10 | 7.4/10 | 8.4/10 | 8.3/10 | 7.2/10 |
| Zerodha | 7.4/10 | 7.1/10 | 8.5/10 | 8.1/10 | 7.0/10 |
| 5Paisa | 7.1/10 | 7.1/10 | 8.4/10 | 8.1/10 | 7.1/10 |
| Karvy | 7.4/10 | 7.3/10 | 8.2/10 | 8.1/10 | 7.1/10 |
| Motilal Oswal | 7.1/10 | 7.1/10 | 8.6/10 | 8.3/10 | 7.2/10 |
Shriram Properties Limited IPO Grey Market Premium
The Shriram Properties Limited IPO Grey Market Premium price is Rs X, the Kostak rate is Rs X and the Subject to Sauda is X.
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Shriram Properties Limited IPO News
News 1 – IPO ISSUE OPENS SOON [Download Prospectus]
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