Sri Lotus Developers IPO: Bollywood Backed Issue Subscribed 10 Times on Day 2; 1 Day Left - Should You Apply?

The initial public offering (IPO) of Sri Lotus Developers & Realty, a Mumbai-based real estate company backed by Bollywood superstars Shah Rukh Khan (SRK) and Amitabh Bachchan, received decent subscription on the second day of bidding. The IPO has been subscribed 10 times by the end of day 2 on Thursday, 31 July 2025, indicating reasonable interest from investors.

Sri Lotus Developers has opened its public offering for subscription on July 30 and will end on August 1. The IPO was fully subscribed yesterday on day 1 with Non-Institutional Investors (NIIs) leading the subscription.

Sri Lotus Developers Subscription Details:

Sri Lotus Developers IPO received bids for 40.99 crore shares, compared to 3.96 crore shares available, resulting in an overall subscription of 10.34 times.

Among investors, NIIs showed the strongest interest, subscribing 15.95 times their allocated quota. Retail investors subscribed 8.89 times. Qualified Institutional Buyers (QIBs) also participated steadily, subscribing 8.69 times. While the employee quota was subscribed 7.83 times, according to NSE data.

Sri Lotus Developers IPO Details:

Sri Lotus Developers IPO is of Rs 792 crore, which consists entirely of a fresh issue of 5.28 crore shares. The price range for the shares is set at Rs 150. A discount of Rs 14 per equity share is being offered to eligible employees bidding in the employee reservation portion of the IPO.

The IPO price is the same as its earlier private round, which included Bollywood celebrities like Amitabh Bachchan and SRK to keep it fair for new investors, according to moneycontrol.com.

Shares are expected to be allotted on Monday, August 4, with listing on both the BSE and NSE scheduled for Wednesday, August 6.

Motilal Oswal Investment Advisors and Monarch Networth Capital are the main managers of the IPO, while Kfin Technologies is handling the share registration process.

Sri Lotus Developers IPO GMP:

The IPO has generated excitement in the market, with a grey market premium (GMP) of Rs 42 over the issue price. If this trend continues, shares could list at around Rs 192, giving investors an estimated 28% gain on listing day.

With strong celebrity backing, solid real estate credentials, and positive grey market signals, the Sri Lotus Developers IPO is one of the most talked-about offerings in recent times.

Should you Apply?

Along with several Bollywood stars, this IPO is also backed by Ashish Kacholia, one of India's well-known equity investors. Known for his sharp market sense and investments in high-growth companies, he has made a strategic investment of Rs 50 crore. It is a positive sign to invest in the Sri Lotus Developers IPO.

The star-studded IPO has been reviewed by many broking agencies, and almost all of them have recommended applying for the IPO, including Anand Rathi, Angel One, Canara Bank, Capital Market, Choice Equity Broking, Reliance Securities and few more.

"Sri Lotus Developers has demonstrated exceptional financial scaling, with revenue growing 3.4× and 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. Strong pricing power, a premium brand image, and robust project visibility position it well for sustained growth," noted Reliance Securities.

About the Company:

Sri Lotus Developers, founded in 2015, is a real estate company based in Mumbai. It specializes in ultra-luxury and luxury residential and commercial projects, mainly in the city's western suburbs. The company follows an asset-light model, focusing on redevelopment and joint development projects.

As of June 30, 2025, it has completed 4 projects covering 0.93 million square feet, has 5 ongoing projects with 0.80 million square feet under development, and is planning 11 upcoming projects covering 4.98 million square feet.

The company is also expanding into south-central and eastern parts of Mumbai and is looking to develop more commercial spaces, especially in areas like Andheri West and Juhu.

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