Sign in Subscribe
Real estate industry

Oberoi Realty Fixes IPO Price Band at Rs 253 - 260 per Share

Strategic Insights

— 1 min read

Oberoi Realty, a leading real estate developer in Mumbai, has set the stage for its Initial Public Offering (IPO) with a price band of Rs 253 - 260 per share. This move is aimed at raising 1,000 crores, with 39,562,000 equity shares of Rs 10 each on offer. The IPO, which will be listed on October 6, 2010, marks a significant milestone in the company's growth plans, with the proceeds to be utilized for ongoing and planned projects, as well as the acquisition of land or land development rights.

Key Takeaways:

  • The IPO price band has been fixed at Rs 253 - 260 per share, with a total of 39,562,000 equity shares of Rs 10 each on offer.
  • The real estate developer aims to raise 1,000 crores through this IPO, which will constitute 12% of the post-issue paid-up equity capital of the company.
  • The IPO issue will be through a 100% book-building process, with Kotak Investment Banking, Enam Securities, J.P. Morgan, and Morgan Stanley as the book-running lead managers to the issue.
  • Linkintime is the registrar to the issue, which will close for subscription on October 8, 2010.
  • Oberoi Realty plans to use the IPO proceeds for the construction of its ongoing and planned projects, as well as the acquisition of land or land development rights.
  • The company has a diversified portfolio of projects targeting the upper end of the respective income or market segment, with a consolidated net worth of Rs 1,943 crore and cash or cash equivalents of Rs 483 crore as on June 30, 2010.
  • Morgan Stanley had invested Rs 67.50 crore in the company in January 2007, holding a 10% stake.

Statistics:

  • Issue size: 39,562,000 equity shares of Rs 10 each
  • Price band: Rs 253 - 260 per share
  • Amount to be raised: 1,000 crores
  • Post-issue paid-up equity capital: 12% of the total equity capital
  • Book running lead managers: Kotak Investment Banking, Enam Securities, J.P. Morgan, Morgan Stanley
  • Registrar to the issue: Linkintime
  • Closing date for subscription: October 8, 2010

Sources:

  • Accord Fintech (2010) - "Oberoi Realty Fixes IPO Price Band at Rs 253 - 260 per Share"

Read more