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Below is quote on Shriram Properties Limited IPO to open tomorrow, what’s GMP? By Mr. Yash Gupta, Equity Research Analyst, Angel One Ltd

Shriram Properties Limited IPO to open tomorrow i.e 8^th December 2021 with a total issue size of ₹600 crores, which includes a fresh issue of ₹250 crores and an offer for sale of ₹350 crores. As per the different market reports grey market premium (GMP) is fluctuating between ₹20-₹25 since the announcement of the IPO. If we look at the financials of the company, the numbers don’t look good, company has reported degrowth of 20.7% in revenue from the operation and reported a negative profit after tax of ₹60 crores. If we look at valuations, IPO has been priced at price to book value of 2.27 times and peers like Sobha Limited, Prestige are trading at price to book value of around 3 times. We have a positive outlook on Shriram Properties Limited IPO.

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