Realty firm Kalpataru files draft papers to raise up to ₹1,590 cr via IPO

Real estate firm Kalpataru Ltd has filed draft prospectus with market regulator SEBI to launch its initial public offering (IPO) for raising up to ₹1,590 crore, mainly to reduce debt.

The Mumbai-based company has filed the draft red herring prospectus (DRHP) to launch its IPO, which comprises fresh issue of shares, having face value of ₹10 each, aggregating up to ₹1,590 crore.

It would use ₹1,192.5 crore for repayment/prepayment, in full or in part, of certain borrowings.

“We are an integrated real estate development company involved in all key activities associated with real estate development, including the identification and acquisition of land (or development rights thereto), planning, designing, execution, sales, and marketing of our projects,” the DRHP said.

The company has a portfolio of 40 ongoing, forthcoming and planned projects comprising 49.77 million square feet area. Of these 25 projects having 22 million square feet are currently underway.

While a majority of the company’s projects are located in the Mumbai Metropolitan Region (MMR) and Pune, Maharashtra, it has two ongoing projects in Hyderabad, Telangana and Noida, Uttar Pradesh. It has land banks in Surat, Gujarat; Nagpur, Maharashtra; and Udaipur, Rajasthan.

Kalpataru Ltd is part of the Kalpataru group. Other companies in the group are — Kalpataru Projects International Ltd, Property Solutions (India) and Shree Shubham Logistics Ltd.

Kalpataru Group was established in 1969 by Mofatraj P Munot and has a legacy of 55 years.

The Group has a multi-national presence and has operations in EPC contracting for power transmission and distribution, oil and gas, railways, civil infrastructure projects, warehousing and logistics, and facility management.

Further, Kalpataru Projects International Ltd is listed on the NSE and BSE.

ICICI Securities Ltd, JM Financial Ltd and Nomura Financial Advisory and Securities (India) Private Ltd are the book running lead managers for the issue.