Lodha Developers Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
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IPO Snapshot
Key metrics and details at a glance.
Price Band
₹486
Per ShareLot Size
30 Shares
Minimum Investment
₹14,580
Issue Size
₹2,500 Cr
Face Value
₹10
Per ShareIPO Type
Book Building
Retail Quota
35%
QIB Quota
50%
NII Quota
15%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
Lodha Developers Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
100%
Issue Type
Book Building
ISIN
INE670K01029
About the Company
Macrotech Developers Ltd is one of the largest real estate developers in India, by residential Sales value for the financial years 2014 to 2020. Its core business is residential real estate developments with a focus on affordable and mid-income housing. Currently, it has residential projects in the MMR and Pune. In 2019, it forayed into the development of logistics and industrial parks and entered into a joint venture with ESR Mumbai 3 Pte. Limited, a subsidiary of ESR Cayman Limited, an Asia Pacific focused logistics real estate platform. It also develops commercial real estate, including as part of mixed-use developments in and around its core residential projects.
Industry Overview
The real estate market in India has grown at a CAGR of approximately 10% from USD 50 billion in 2008 to USD 120 billion in 2017, and is expected to further grow at a CAGR of 17.7% to reach USD 1 trillion by 2030. The real estate market contributed approximately 6% to India's GDP in 2017 and is likely to contribute approximately 13% to India's GDP by 2025. Residential, commercial and retail are the three key asset classes that have primarily contributed to the growth of the real estate market in India. With a share of 24% of total supply (by units), 32% of total absorption (by units) and 46% of total absorption (by value) in the Top Seven Indian Markets, the MMR was the top performer in overall residential activity in 2020.
Company History
Macrotech Developers Limited ("Company") was incorporated as `Lodha Developers Private Limited' on September 25, 1995 in the state of Maharashtra at Mumbai as a private limited company under the Companies Act, 1956, as amended. Thereafter, the Company was converted into a public limited company, the word `private' was struck off from the name of the Company and consequently, a fresh certificate of incorporation consequent upon change of name dated August 10, 2009 was issued by the Registrar of Companies, Maharashtra situated at Mumbai ("RoC") recording the change in the name of the Company to `Lodha Developers Limited'. Thereafter, the Company was converted into a private limited company, the word `private' was incorporated in the name of the Company and consequently, a fresh certificate of incorporation consequent upon change of name dated January 11, 2013 was issued by the RoC recording the change in the name of the Company to `Lodha Developers Private Limited'. Subsequently, the Company was converted into a public limited company, the word `private' was struck off from the name of the Company and consequently, a fresh certificate of incorporation dated March 14, 2018 was issued by the RoC consequent upon conversion recording the change of the name of the Company to `Lodha Developers Limited'. Subsequently, the name of the Company was changed to `Macrotech Developers Limited' pursuant to a resolution passed by its Shareholders in an extraordinary general meeting held on May 14, 2019 and a fresh certificate of incorporation, dated May 24, 2019 was issued by the RoC.
Products & Services
- Real Estate Developers
Growth Strategy
- Focus on enhancing leadership position in residential developments by growing in the MMR and gradually diversifying in select tier-I Indian cities
- Leverage our leadership position to act as a partner of choice for landowners and grow using a joint development or joint venture approach
- Pursue a value-accretive land acquisition strategy
- Develop large-scale industrial parks
- Focus on development of commercial projects as part of mixed-use developments
Customer Base
Wholesalers and Retailers
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a consolidated basis, as reported for FY24 to FY26.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public offer of 51,440,328 equity shares of face value of Rs.10 each ("equity shares") of Macrotech Developers Limited ("issuer") for cash at a price of Rs.486 per equity share (including a share premium of Rs.476 per equity share) aggregating to Rs.2500 Crores (the "issue"). The issue includes a reservation of 617,283 equity shares aggregatingup to Rs.30 Crores (constituting 0.14% of the post-issue paid-up equity share capital), for subscription by eligible employees (the "employee reservation portion"). The issue less the employee reservation portion is hereinafter referred to as "net issue". The issue and net issue shall constitute 11.50% and 11.36%, respectively, of the post-issue paid-up equity sharse is Rs.10 each. The company may, in consultation with the managers, consider a pre-ipo placement of up to (*) specified securities for cash consideration aggregating up to Rs. 500 Crores (the "pre-ipo placement"). The pre-ipo placement will be at a price to be decided by the company. If the pre-ipo placement is undertaken, the number of equity shares issued pursuant to the pre-ipo placement will be reduced from the issue, subject to the minimum issue size constituting at least (*)% of the post-issue paid-up equity share capital of the company. The face value of equity shares is Rs.10 each and the face value is 48.6 times of the face value.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- One of India's largest residential real estate developers with a leadership position in the attractive MMR market;
- Well-established brand with ability to sell at premium pricing and throughout the construction phase;
- Proven end-to-end execution capabilities with continuous innovation and ability to deliver projects at competitive cost;
- Strong focus on sustainable development;
- Highly diversified portfolio across price points and micro-markets in the MMR with a focus on affordable and midincome housing;
- The Company has a substantial amount of debt, which could affect its ability to obtain future financing or pursue its growth strategy.
- The Company reported a restated loss for the nine months ended December 31, 2020 and may incur additional losses in the future.
- We have had negative cash flows in the past and may continue to have negative cash flows in the future.
- We have certain contingent liabilities, which, if they materialize, may adversely affect its results of operations, financial condition and cash flows. Further, as of December 31, 2020, March 31, 2020, 2019 and 2018, its ratio of total liabilities plus contingent liabilities to net worth was 9.5, 8.9, 13.6 and 26.4 respectively.
- We may not be able to successfully identify and acquire suitable land or development rights, which may affect its business and growth prospects.