Casagrand Premier Builder Files for Rs 1,100 Crore IPO with Sebi

Casagrand Premier Builder has submitted preliminary documents to Sebi to launch an IPO worth Rs 1,100 crore. The offering includes a fresh issue of Rs 1,000 crore in equity shares and an OFS of Rs 100 crore by promoters. The funds will be used to repay debt and for corporate purposes.

Real estate developer Casagrand Premier Builder has filed initial papers with capital markets regulator Sebi to raise Rs 1,100 crore via an initial public offering (IPO).

The IPO comprises a fresh issue of equity shares worth Rs 1,000 crore and an offer for sale (OFS) valued at Rs 100 crore by the promoters, as outlined in the draft red herring prospectus (DRHP).

The OFS includes the sale of equity shares totaling Rs 50 crore each by Arun MN and Casagrand Luxor Pvt Ltd.

Additionally, the company might consider raising up to Rs 200 crore in a pre-IPO placement round. If executed, the size of the fresh issue will be reduced proportionally.

According to the draft papers, the proceeds from the fresh issue will be used to settle the company's debt and its subsidiaries, as well as for general corporate purposes.

Founded in 2003, the Chennai-based firm offers a broad spectrum of residential projects under the 'Casagrand' brand, focusing primarily on mid-range offerings.

By May 2024, the company had completed 101 projects, encompassing a saleable area of 21.45 million sq ft, and was involved in 42 ongoing projects with 17 more in the pipeline.

Financially, the company's revenue from operations saw a CAGR of 18 percent, growing to Rs 2,613.99 crore in FY24 from Rs 1,876.82 crore in FY22. Meanwhile, the profit after tax increased by 32.63 percent to Rs 256.95 crore in FY24 from Rs 146.08 crore in FY22. JM Financial and Motilal Oswal Investment Advisors serve as the lead managers for the issue.

(With inputs from agencies.)