SIGNATUREGLOBAL (INDIA) LIMITED

SIGNATUREGLOBAL (INDIA) LIMITED - IPO DETAILS 

Company Overview 

The company strategically places its focus on two distinct housing segments: Affordable Housing (AH), which encompasses properties priced below ₹4 million, and Middle Income Housing (MH), which falls within the ₹4 million to ₹2.5 million price category in the private sector. The majority of their completed, ongoing, and upcoming projects are concentrated in Gurugram and Sohna regions of Haryana, accounting for 88.49% of their saleable area as of March 31, 2023. It's worth noting that nearly all of their projects have been executed in accordance with the Affordable Housing Policy (AHP) or the Deen Dayal Jan Awas Yojana - Affordable Plotted Housing Policy (DDJAY - APHP). 

AHP (Affordable Housing Policy) - 56.2% of Revenue: This segment includes projects with units typically priced below ₹3.00 million per unit. These projects offer amenities such as recreational areas, gardens, open spaces, and community halls.  

DDJAY - APHP (Deen Dayal Jan Awas Yojana - Affordable Plotted Housing Policy) - 43.8% of Revenue: These projects usually have units priced between ₹4.00 million and ₹12.00 million per unit. They provide a range of facilities, including gymnasiums, recreational spaces, entertainment centers, swimming pools, and sporting facilities. 

Signature Global has established a comprehensive distribution network tailored to their target customer segments. This network includes 593 channel partners, and they also maintain an in-house sales team comprising 41 employees engaged in direct sales. Additionally, they have a workforce of 100 employees dedicated to other aspects of their operations. 

Objective of the IPO 

Here are a few quick reasons why Signatureglobal (India) Limited going public:  

1. The company plans to allocate funds for the repayment or partial prepayment of specific loans taken by the company. 

2. The company intends to inject capital into some of its subsidiaries, namely Signatureglobal Homes, Signature Infrabuild, Signatureglobal Developers, and Sternal Buildcon, to facilitate the repayment or partial prepayment of their respective borrowings 

3. Allocating funds for overarching corporate needs and objectives. 

Company Financials 

Key Performance Indicator 

Pros 

1. The company has established a strong brand presence, a resilient distribution network, and expertise in digital marketing, which has resulted in an increase in sales. Notably, 45.85% of sales occur in the Gurugram and Sohna regions, and 55.69% fall within the Affordable Housing Policy (AHP) category, with these sales being direct. 

2. The company actively participates as a member of the IGBC (Indian Green Building Council) and is dedicated to environmental sustainability. They incorporate green building concepts into their projects to mitigate carbon impact and enhance greenery, aligning with their commitment to eco-friendly practices. 

3. The company has adopted standardized business procedures, enabling them to deliver high-quality housing solutions to their clientele. In a majority of their projects, they employ aluminum formwork technology, which not only expedites the construction process but also ensures the creation of durable and superior-quality structures. 

Cons 

1. The company's business and financial performance are contingent on policies like the Affordable Housing Policy. Any potential discontinuation or alteration of such policies by the Haryana government could indeed have an impact on the company's revenue and operational activities. 

2. A rise in land prices or a scarcity of available land for development could pose a significant negative impact on the company's operations. The accessibility of developable land, particularly in the Delhi NCR and Haryana regions, is restricted, making the acquisition of new land highly competitive and financially demanding.  

3. Signature Global primarily focuses on developing residential real estate projects in the affordable and mid housing segments, with a strong presence in Gurugram and Sohna micro-markets. The company's success hinges on its capacity to foresee and address the evolving needs and preferences of consumers. 

How to Apply for this IPO 

1. Go to https://ipo.adityatrading.in/ 

2. Enter your Client ID 

3. Enter the OTP received in your registered mobile number. 

4. Choose the IPO and click on apply button. 

5. Enter the UPI ID, Quantity, and Cut off the price. 

6. Click on submit button 

7. Confirm the mandate request received on your phone by entering the UPI Pin. 

You can also watch our youtube video on “How to Apply on IPO” by clicking on the link “https://www.youtube.com/watch?v=1qOI8dCpl1I&ab_channel=ATS”