This would be the third attempt by the real estate company to launch a public issue and list its shares on the stock exchanges
Realty major Macrotech Developers Ltd, which was formerly known as Lodha Developers, will open its Rs 2,500 crore initial public offering (IPO) on Wednesday, 7 April. The three-day public offering will conclude on 9 April. The company had on Tuesday, 6 April raised Rs 740 crore from 14 anchor investors ahead of the offering.
Investors may know that this would be the third attempt by the company to launch a public issue and list its shares on the stock exchanges.
Macrotech Developers had filed its preliminary papers for the first time in September 2009, to raise about Rs 2,800 crore and had received Securities and Exchange Board of India (SEBI’s) nod in January 2010. However, it could not launch the IPO due to unfavorable market conditions post the global financial crisis.
The company again filed the draft papers in 2018 and got the approval in July 2018 to launch its IPO to raise up to Rs 5,500 crore. However, amid market turmoil, the plan was again shelved.
Here is all you need to know about the IPO if you are planning to invest:
Price Band: The price band of the issue has been fixed at Rs 483-486 per share. Investors can bid in lots of 30 equity shares and multiples thereafter.
Objective: The main objective of the IPO is to raise money to reduce aggregate outstanding borrowings of the company on a consolidated basis, to acquire land or land development rights, and to meet general corporate purposes.
Lead Managers: There are 10 lead managers to the IPO namely Axis Capital Limited, BOB Capital Markets Limited, Edelweiss Financial Services Ltd, ICICI Securities Limited, IIFL Holdings Limited, J.P. Morgan India Private Limited, JM Financial Consultants Private Limited, Kotak Mahindra Capital Company Limited, SBI Capital Markets Limited, and Yes Securities (India) Limited.
Registrar: Link Intime India is the registrar of the public issue.
How to apply: Investors can apply for the IPO online using either UPI or ASBA as a payment method. ASBA IPO application is available in the net banking of the bank account while UPI IPO application is offered by brokers who do not offer banking services.
Earnings: The revenue from operations stood at Rs 9,580 crore in the 2019-20 fiscal, while in the first nine months of the last fiscal the company’s revenue was at Rs 2,920 crore. A profit of Rs 1,210 crore in 2019-20 was also posted by the company but it has suffered a loss of Rs 260 crore in the April-December period of last fiscal due to the coronavirus pandemic.
About the company: Founded in 1995 by Mangal Prabhat Lodha, it is a leading player in the Indian real estate market with a presence in Mumbai, Pune, and London. The company is the largest residential real estate developer in India in terms of sales bookings
With inputs from PTI