The initial public offering (IPO) of Macrotech Developers, earlier known as Lodha Developers, will be open from April 7-9. The company has priced it between Rs 483 and Rs 486 per equity share.
The IPO comprises fresh issuance of equity shares worth Rs 2,500 crore. Macrotech plans to utilise the offer proceeds to reduce its borrowings amounting up to Rs 1,500 crore and for acquiring land or land developmental rights of up to Rs 375 crore. The rest will be spent on general corporate purposes.
At the top-end of the price band, Macrotech will have a post-diluted market capitalisation of Rs 21,740 crore. The Mumbai-based developer will become the third biggest listed realty company — behind DLF and Godrej Properties and slightly ahead of Oberoi Realty.
Macrotech has been amongst the largest real estate developers in India by residential sales value during 2014-20 period, according to its draft red herring prospectus. Macrotech's core business is residential real estate developments with a focus on affordable and mid-income housing.
Currently, the company has residential projects in the Mumbai region and Pune. In 2019, the company forayed into the development of logistics and industrial parks. Macrotech also develops commercial real estate, including mixed-use developments in and around their core residential projects.