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Rajesh Kurup Lodha Developers, India’s largest real estate developer by sales and construction area, is reviving its IPO plans, with the company now planning to tap the capital markets to raise ₹4,500-5,000 crore this financial year. The firm filed an updated draft red herring prospectus (UDRHP) with the market regulator in December 2018.
This is the third attempt by Lodha Developers at IPO, with the developer filing a DRHP in September 2009 to raise about ₹2,800 crore. Later in January 2010, the developer received SEBI approval, but the plan was shelved citing “bad economy and market conditions” following the global financial crisis.
Later, the company made an attempt in April 2018 also.
The developer has roped in CLSA, Kotak Investment Banking, Morgan Stanley and JM Financial as bankers to the issue. The company will launch the IPO this fiscal, sources close to the development said.
The company would use the net proceeds to retire debt and for expansion purposes, they added.
Sources, however, declined to be identified before a formal announcement.
When contacted a spokesperson declined to comment.
The company plans to issue fresh shares, apart from an offer-for-sale and a pre-IPO placement, details of which were not immediately available.
Lodha Developers has posted a sale of Rs 1,000 crore in March in its India business. It also recorded more than ₹9,100 crore in cash revenues for the financial year ended March 31, 2019.
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