Runwal Enterprises Secures SEBI Nod for Rs 1,000 Crore IPO
Mumbai-based real estate developer Runwal Enterprises has obtained SEBI approval for its Rs 1,000 crore IPO. The offering will comprise fresh equity shares with a Rs 2 face value. The company plans to use the proceeds for expansion and strengthening its balance sheet. Runwal Enterprises operates in residential, commercial, and retail segments, ranking second in Mumbai for new residential launches and sales. The company's revenue increased from Rs 229.49 crore in FY23 to Rs 662.19 crore in FY24, with a profit after tax of Rs 107.28 crore in FY24. ICICI Securities and Jefferies India are the lead managers, with listing proposed on BSE and NSE.
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Mumbai-based real estate developer Runwal Enterprises has received the green light from the Securities and Exchange Board of India (SEBI) for its initial public offering (IPO) worth Rs 1,000 crore. The company plans to issue fresh equity shares with a face value of Rs 2 each.
IPO Details
- The IPO will consist of fresh equity shares
- Face value of shares: Rs 2
- Total IPO size: Rs 1,000 crore
- Pre-IPO placement option: Up to Rs 200 crore
- Employee share reservation with discount included
Use of Proceeds
The company intends to utilize the IPO proceeds for:
- Expansion plans
- Strengthening the balance sheet
Company Overview
Runwal Enterprises is a prominent player in Mumbai's real estate market, operating across three key segments:
- Residential
- Commercial
- Retail
The company has established a strong presence in Mumbai, ranking second in the city for:
- New residential launches (5.69% market share)
- Sales (5.25% market share)
These figures are based on performance between January 2019 and September 2024.
Financial Performance
Runwal Enterprises has demonstrated significant growth in recent years:
| Fiscal Year | Revenue (in Rs crore) | Profit After Tax (in Rs crore) |
|---|---|---|
| FY23 | 229.49 | N/A |
| FY24 | 662.19 | 107.28 |
The company's revenue saw a substantial increase from Rs 229.49 crore in FY23 to Rs 662.19 crore in FY24, marking impressive growth. In FY24, Runwal Enterprises reported a profit after tax of Rs 107.28 crore.
IPO Management and Listing
- Lead managers: ICICI Securities and Jefferies India
- Proposed listing: Bombay Stock Exchange (BSE) and National Stock Exchange (NSE)
The approval from SEBI marks a significant milestone for Runwal Enterprises as it prepares to enter the public market. Investors and market watchers will be keeping a close eye on this IPO, given the company's strong position in Mumbai's real estate sector and its recent financial performance.
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