Rustomjee IPO will make its debut on the stock market on NOV 14,2022 with a price range of 514-541 rupees per share for its 635-crore initial public offering. Keystone Realtors(Rustomjee) LTD sells homes under the name “Rustomjee”.
Rustomjee IPO: Details
|IPO Date||Nov 14, 2022 to Nov 16, 2022|
|Listing Date||Nov 24, 2022|
|Face Value||₹10 per share|
|Price||₹514 to ₹541 per share|
|Lot Size||27 Shares|
|Issue Size||11,737,523 shares of ₹10 |
(Aggregating up to ₹635.00 Cr)
|Fresh Issue||10,351,201 shares of ₹10 |
(Aggregating up to ₹560.00 Cr)
|Offer for Sale||1,386,322 shares of ₹10 |
(Aggregating up to ₹75.00 Cr)
|Issue Type||Book Built Issue IPO|
|Listing At||BSE, NSE|
|QIB Shares Offered||Not more than 50% of the Offer|
|NII (HNI) Shares Offered||Not less than 15% of the Offer|
|Retail Shares Offered||Not less than 35% of the Offer|
|Company Promoters||Boman Rustom Irani, Percy Sorabji Chowdhry, and Chandresh Dinesh Mehta are the company promoters.|
Rustomjee IPO: Tentative Dates
|Opening Date||Nov 14, 2022|
|Closing Date||Nov 16, 2022|
|Basis of Allotment||Nov 21, 2022|
|Initiation of Refunds||Nov 22, 2022|
|Credit of Shares to Demat||Nov 23, 2022|
|Listing Date||Nov 24, 2022|
Rustomjee IPO: Industry Overview
According to data from the census and the Ministry of Housing and Urban Affairs, there were 28.51% more households in 2011 than there were in 2001, when there were 191.96 million. Out of these households, home ownership—that is, the number of residences that were owned—rose from 166.35 million in 2001 to 213.53 million in 2011, a rise of 28.36%.
India’s urbanisation rate is likewise rising quickly at the same time as its population. According to forecasts from the United Nations Development Programme (“UNDP”), India’s population would be almost 50% urban by 2046.
However, in the medium to long term, it is anticipated that growing urbanisation will fuel demand for homes, workplaces, and other real estate asset classes.
By 2035, eight Indian cities are expected to have a population of 10 million or more, underscoring the country’s unmet housing demand.
Rustomjee IPO: Company Overview
Keystone Realtors has created high-quality and reasonably priced residential complexes, prestigious gated estates, townships, business parks, retail spaces, schools, famous landmarks, and numerous other real estate projects totaling 20.22 million square feet.
As part of its business strategy, the company is engaging in slum rehabilitation projects, joint development agreements, and redevelopment agreements with landowners, developers, and societies.
These agreements require less capital outlay up front than the company’s preferred alternative, the direct purchase of a land parcel.
Keystone Retailers (Rustomjee) has adopted an integrated real estate development model for each stage of the property development life cycle, starting with business development, which entails the identification of land parcels and the conceptualization of the development, and continuing through execution, which includes planning, designing, and supervising the construction activities as well as marketing and sales. For more than 14,000 households, the business has built over 280 homes and buildings.
Rustomjee IPO: Objectives
The company will be using the proceeds for the following:
- Repayment/ prepayment, in full or part, of certain borrowings availed by the Company and/or certain of the Subsidiaries.
- Funding acquisition of future real estate projects and general corporate purposes.
Rustomjee IPO: Financials
Rustomjee IPO: Strengths
- Rustomjee has well established customer-centric brand in the Mumbai Metropolitan Region.
- Rustomjee is amongst the leading residential real estate development companies in MMR with a well-diversified portfolio and strong pipeline.
- Rustomjee’s Asset-light and scalable model has resulted in profitability and stable financial performance.
Rustomjee IPO: Weaknesses
- Profitability is significantly dependent on the performance of the real estate market generally in India.
- An inability to complete Ongoing Projects and Forthcoming Projects.
- Focus on development of residential projects across various categories within the MMR.
Company Contact Information
Keystone Realtors Limited
702, Natraj, MV Road Junction,
Western Express Highway,
Andheri (East), Mumbai, Maharashtra, 400069
Phone: +91 (22) 6676 6888
Rustomjee IPO Registrar
Phone: +91-22-4918 6270
Rustomjee IPO Lead Manager(s)
- Axis Capital Limited (Past IPO Performance)
- Credit Suisse Securities (India) Private Limited (Past IPO Performance)