Kalpataru IPO Sets Price Band For Rs 1,590-Crore IPO

The price band for Kalpataru Ltd.'s initial public offering has been fixed in the range of Rs 387 to Rs 414 per share, with a face value of Rs 10.

The offering, set to open for subscription on June 24, will include a fresh issue of shares at a face value of Re 1 each and no offer-for-sale component.

Of the net proceeds from the issue, Rs 1,192.5 crore will be used to repay borrowings—Rs 300 crore debt of the company, and Rs 892.5 crore of its subsidiary. The remainder will be used for general corporate purposes.

ICICI Securities Ltd., JM Financial Ltd. and Nomura Financial Advisory and Securities (India) Pvt. are the book-running lead managers for the issue and Link Intime India Pvt. will be the registrar of the issue.

The company is part of the Kalpataru group, along with Kalpataru Projects International Ltd., which is listed on the NSE and BSE.

Kalpataru is an integrated real estate development company which undertakes identification and acquisition of land, planning, designing, execution, sales, and marketing of its projects.

While a majority of its operations are in the Mumbai Metropolitan Region in Maharashtra, it also has two ongoing projects in Hyderabad, Telangana and Noida, Uttar Pradesh, as well as land reserves in Surat, Gujarat; Nagpur, Maharashtra; and Udaipur, Rajasthan.

As of March 31, 2024, the real estate developer along with its promoters, has completed 113 projects, covering over 24.10 million square feet of developable area.