Runwal Enterprises Sets Sights on Rs 1,000-Crore IPO

Runwal Enterprises, a Mumbai-based real estate firm, has filed for a Rs 1,000 crore IPO with Sebi. The proceeds are earmarked for debt repayment, subsidiary investment, and new projects. The firm has shifted from losses to profitability, showcasing significant revenue growth.

Runwal Enterprises, a key player in India's real estate sector, has filed a draft red herring prospectus with the Securities and Exchange Board of India (Sebi) to raise Rs 1,000 crore through an initial public offering (IPO). According to the document submitted on Monday, the IPO will be entirely a fresh issue of shares, with no Offer-For-Sale (OFS) component.

The company is offering a subscription reservation for eligible employees, with a discount for them. Additionally, Runwal Enterprises may secure Rs 200 crore via a pre-IPO placement that would reduce the amount raised through the fresh issue if completed. Allocation of the net proceeds includes Rs 200 crore for debt repayment, Rs 450 crore for investments in subsidiaries aimed at debt repayment, and further funds for acquiring future real estate projects and corporate needs.

Specializing in various residential and commercial real estate projects, Runwal Enterprises has experienced substantial financial growth. Their revenue surged from Rs 229.49 crore in fiscal year 2023 to Rs 662.19 crore in 2024, transitioning from losses to netting a profit of Rs 107.28 crore. ICICI Securities and Jefferies India have been appointed as the lead managers, with plans to list the equity shares on BSE and NSE.

(With inputs from agencies.)