Arkade Developers Limited, a prominent real estate company, has announced a strategic financial restructuring involving its wholly-owned subsidiary, Filmistan Private Limited. The Board of Directors has approved the conversion of pre-existing inter-company loans worth Rs. 12.61 crores into equity shares of Filmistan Private Limited.

Transaction Details

The conversion involves the issuance of 7,415 equity shares with a face value of Re. 1 each at a premium of Rs. 16,999 per share. This transaction will result in Arkade Developers holding a 7.41% stake in Filmistan Private Limited. The company emphasized that this restructuring of existing financial exposure requires no fresh capital infusion and is expected to be completed within one month.

About Filmistan Private Limited

Filmistan Private Limited operates in two primary business segments:

1. Real estate leasing
2. Cinematographic film business

As of March 2025, Filmistan Private Limited reported:

• Net worth: Negative Rs. 12.03 crores
• Turnover: Rs. 14.95 lakhs

The subsidiary was incorporated on April 29, 1943, and has a long-standing presence in the entertainment and real estate sectors.

Financial Performance

Filmistan Private Limited's turnover for the past three financial years:

Regulatory Compliance

Arkade Developers Limited has confirmed that the transaction is exempt from related party transaction provisions under listing regulations as it involves a wholly-owned subsidiary. The company has stated that the transaction is being conducted on an arm's length basis.

Management Statement

In a filing to the stock exchanges, Arkade Developers Limited stated, "This is to inform you that pursuant to Regulation 30 read with Para A of Part A of Schedule III of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Board of Directors of the Company in their meeting held today i.e., 25th September, 2025 has approved and authorized the conversion of pre-existing inter-company loans into equity shares of its subsidiary company."

The company further emphasized that this transaction does not involve any fresh infusion of capital but pertains only to the restructuring of the company's existing financial exposure.

This strategic move by Arkade Developers Limited appears to be aimed at optimizing its financial structure and potentially strengthening the position of its subsidiary, Filmistan Private Limited. Investors and market analysts will likely be watching closely to see how this restructuring impacts the future performance of both entities.

Arkade Developers , a prominent real estate company, has reported impressive growth in its first year as a listed entity. The company's performance highlights its strong position in the market and ambitious plans for future expansion.

Financial Performance

Arkade Developers demonstrated robust financial results in its inaugural year as a public company:

The company's significant growth in net profit, outpacing revenue growth, suggests improved operational efficiency and cost management.

Operational Highlights

• Launched three new residential projects
• Delivered four completed projects
• Total completed portfolio: 31 projects covering 5.5 million sq. ft.

IPO Success and Market Performance

Arkade Developers' initial public offering (IPO) was met with overwhelming investor interest:

• IPO oversubscribed 107 times
• Listed at a 37% premium to the offer price
• Entered India's top 1,000 companies by market capitalization within four months of listing

Shareholder Returns

In a move that demonstrates confidence in its financial position and commitment to shareholder value, Arkade Developers declared its first interim dividend of 10%. Notably, the company's promoters chose to forgo their dividend entitlement, potentially allowing for greater returns to other shareholders.

Future Outlook

Arkade Developers has outlined an ambitious growth strategy:

1. Plans to launch over 10 new projects across Mumbai and Thane
2. Acquired Filmistan Studios property, worth ₹3,200.00 crore in Gross Development Value (GDV)
3. Secured a Thane land parcel worth ₹2,000.00 crore in GDV
4. Total development pipeline valued at ₹12,000.00 crore

Investor Relations

According to a recent corporate filing, Arkade Developers is maintaining active engagement with the investment community. The company has scheduled an investor/analyst meet in Mumbai, demonstrating its commitment to transparency and open communication with stakeholders.

Arkade Developers' strong performance in its first year as a listed company, coupled with its substantial project pipeline and strategic acquisitions, positions the company for potential continued growth in the competitive real estate market of Mumbai and Thane regions.