Macrotech Developers Ltd (erstwhile Lodha Developers Ltd) has fixed a price band of ₹483–486 per share for its ₹2,500-crore Initial Public Offering, which will open for subscription on April 7.
The fund raising would be through a fresh issuance of shares, including up to ₹30 crore to employees. Up to 50 per cent would be for qualified institutional buyers, not less than 15 per cent to non-institutional bidders and 35 per cent to retail individual bidders.
The issue will close on April 9. This is the third attempt by the company to raise funds through an IPO.
The company proposes to use the proceeds to repay borrowings of up to ₹1,500 crore, spend up to ₹375 crore to acquire land or land developmental rights and for general corporate purposes.
Axis Capital Ltd, J.P. Morgan India Private Ltd and Kotak Mahindra Capital Company Ltd are the global coordinators and book running lead managers to the Issue. ICICI Securities Ltd, Edelweiss Financial Services Ltd, IIFL Securities Ltd, JM Financial Ltd, YES Securities (India) Ltd, SBI Capital Markets Ltd and BOB Capital Markets Ltd are the book running lead managers to the issue.
As of December 31, 2020, the Mumbai-based real estate developer has completed about 77.2 million sq ft of developable area across 91 projects. It has 54 ongoing and planned projects with about 73.8 million sq ft developable area.
In 2019, Macrotech Developers forayed into the development of logistics and industrial parks and entered into a joint venture with ESR Mumbai 3 Pte. Limited, a subsidiary of ESR Cayman Limited, an Asia Pacific-focused logistics real estate platform.
Earlier, in September 2009, the company had first filed DRHP to raise about ₹2,800 crore, for which it got SEBI approval in January 2010. Later, in April 2018, it filed another DRHP to launch a ₹5,500-crore IPO, for which it got SEBI approval in July 2018. Both times, the company shelved its IPO plans citing “unfavourable market conditions”.