Rustomjee IPO: Rustomjee Group firm Keystone Realtors to raise Rs 850 crore through IPO

MUMBAI: Realty developer Rustomjee Group’s firm Keystone Realtors has filed papers with the capital market regulator to lift as much as Rs 850 crore by way of an Preliminary Public Provide (IPO). The maiden fairness share sale includes contemporary challenge of as much as Rs 700 crore and a proposal on the market of as much as Rs 150 crore by its current shareholders and promoters.

Mumbai-based Keystone Realtors, which operates underneath the model Rustomjee, is planning to make the most of the web proceeds in direction of reimbursement or prepayment, in full or half, of sure borrowings availed by the corporate and subsidiaries, and funding acquisition of future actual property initiatives other than basic company functions.

The supply on the market includes fairness shares of as much as Rs 75 crore by Boman Rustom Irani, as much as Rs 37.5 crore by Percy Sorabji Chowdhry and as much as Rs 37.5 crore by Chandresh Dinesh Mehta.

The corporate has reported a consolidated web revenue of Rs 231.82 crore in the course of the monetary yr 2020-21 as in opposition to Rs 14.49 crore a yr in the past. Consolidated income for the yr was Rs 848.72 crore in the course of the yr as in opposition to Rs 1,211.48 crore in 2019-20. Complete debt for the yr stood at Rs 1,263 crore.

For the 9 months ending December, the corporate has reported a web revenue of Rs 95.82 crore on the again of income of Rs 1,035 crore, whereas debt stood at Rs 1,434 crore.

As of March 31, 2022, the developer had 32 accomplished initiatives, 12 ongoing initiatives and 19 forthcoming initiatives throughout the Mumbai Metropolitan Area (MMR) together with reasonably priced, mid and mass, aspirational, premium and super-premium segments, all underneath the Rustomjee model.

The developer has developed 20.05 million sq ft of high-value and reasonably priced residential buildings, premium gated estates, townships, company parks, retail areas, faculties, iconic landmarks and varied different actual property initiatives as of March-end.
Restricted, and Credit score Suisse Securities (India) Non-public are the book-running lead managers.

The strong property gross sales momentum throughout the nation helps all of the state governments fetch increased revenues by way of collections of stamp responsibility fees on the registration of actual property transactions.

Mumbai, the nation’s largest and most costly actual property market, has been setting new benchmarks with high-profile property transactions currently after the Maharashtra authorities introduced a limited-window stamp responsibility discount.

The numerous however limited-period stamp responsibility discount window that ended on March 31, 2021, was a catalyst for the town’s residential market. Whereas stamp responsibility rebates should not obtainable now, the offers have continued to circulate in. Property registration in Mumbai maintained its record-breaking velocity in Could regardless of elevated prepared reckoner, stamp responsibility, and the flip of the rate of interest cycle.