Real estate player Suraj Estate Developers has filed fresh preliminary papers with capital markets regulator Sebi to raise Rs 400 crore through an initial public offering (IPO).
Before this, the Mumbai-based realty film filed its draft IPO papers in March 2022. The IPO is entirely a fresh issue of equity shares worth up to Rs 400 crore with no offer for sale (OFS) component, according to the fresh draft red herring prospectus (DRHP) filed on Monday. Proceeds to the tune of Rs 285 crore would be used towards the payment of debt availed by the company and its subsidiaries — Accord Estates and Iconic Property Developers — and up to Rs 35 crore for the acquisition of land, the remaining funds will be used for general corporate purposes.
The company, which operates in both residential and commercial real estate, has completed 42 projects, spanning a developed area of over 1.05 million square feet in Mumbai as on May 2023. Additionally, it has 11 ongoing projects and 21 upcoming projects. Suraj Estate Developers clocked a profit of Rs 32 crore in FY23 against Rs 26.50 crore in the preceding fiscal, registering a rise of 21 per cent, and its revenue rose to Rs 306 crore in FY23 from Rs 273 crore in the previous year, up 12 per cent. ITI Capital Ltd and Anand Rathi Advisors Ltd are the book-running lead managers to the issue.
