Arkade Developers IPO Listing Details

IPO Listing Date: Arkade Developers Ltd. listed its shares on both the NSE and BSE on September 24, 2024.
Listing Performance: The shares of Arkade Developers debuted at ₹175, marking a 36.72% premium over its issue price of ₹128. This listing price was below the expectations set by the Grey Market Premium (GMP), which had indicated a potential listing premium of up to 67%.
Issue Details Recap:
- Price Band: ₹121 to ₹128 per equity share.
- Issue Size: The IPO was structured to raise approximately ₹410 crore through a fresh issue of equity shares.
- Lot Size: Retail investors applied for a minimum of 110 shares, while High Net worth Individuals (HNIs) could apply for lots of 1,650 shares.
Market Sentiment: Despite the strong subscription numbers and a positive GMP, the actual listing gain was considered below expectations by some market observers. The IPO was oversubscribed significantly, with retail and non-institutional investors showing robust interest.
Investor Gains:
- Retail: An investor who got shares at the offer price made a profit of ₹5,170 per lot of 110 shares.
- HNI: For those who applied in the HNI category, the listing gain was approximately ₹77,550 based on a lot size of 1,650 shares.
Subscription Details: The IPO saw a subscription rate of 106.83 times overall, with particular enthusiasm from non-institutional investors and retail investors, subscribing 163.02 times and 51.39 times respectively.
Post-IPO Strategy: Funds from the IPO were intended for the development of ongoing and upcoming real estate projects, acquisitions, and general corporate purposes, aiming to leverage Arkade Developers’ reputation in the Mumbai redevelopment market.

This IPO’s listing reflects both the high investor interest in real estate-focused companies in India and the cautious optimism that often characterizes the stock market’s initial response to new listings, especially when compared to pre-listing expectations like GMP.