Raymond Realty to raise ₹409 crore through preferential issue of convertible warrants

Welspun Investments plans ₹1,285 crore infusion into Vishwakarma Realty


Thane-based real estate developer Raymond Realty Ltd on Friday (September 11) said it has approved raising up to ₹409 crore through a preferential issue of 66,57,373 convertible warrants to J K Investors (Bombay) Ltd, an entity belonging to the company’s promoter group.

The warrants will be issued for cash at ₹614 per warrant, including a premium of ₹604 per warrant. Each warrant will entitle the allottee to subscribe to one fully paid-up equity share of face value ₹10. The proposed issue is subject to approval from the company’s shareholders and other applicable statutory and regulatory approvals.

The warrants can be converted into equity shares, in one or more tranches, within a maximum period of 18 months from the date of allotment. Any warrants not converted within the 18-month period will lapse, and the upfront consideration paid for such warrants will be forfeited.

ALSO READ | Raymond Realty Q1 net profit falls 19% on upfront marketing, construction setup costs

Following the proposed issue and assuming full conversion of the warrants, J K Investors’ shareholding in Raymond Realty will increase from 29.83% to 35.99%. Its shareholding will rise from 1.99 crore shares to 2.65 crore shares.

The board has also approved increasing Raymond Realty’s authorised share capital from ₹70 crore to ₹75 crore. This will involve the creation of an additional 50 lakh equity shares of ₹10 each, ranking pari passu with the existing equity shares.

Last month, Raymond Realty said it is maintaining a strong growth outlook, with management expecting pre-sales and revenue to grow at around 20% annually over the long term.

ALSO READ | Raymond Realty shares jump 18% after pre-sales double in Q4, ahead of new launches

Harmohan Sahni, MD, Raymond Realty, said the company’s long-range plan indicates that pre-sales and the topline could roughly double every three-and-a-half years, supported by its expanding project pipeline.

The company is also seeing healthy demand across its projects, with Sahni saying there has been no significant dent in demand so far.

While some developers have introduced attractive payment schemes, he does not see a broader industry trend of established players offering steep concessions, with such schemes largely remaining project-specific.

In the April-June quarter (Q1FY27), Raymond Realty reported pre-sales of ₹700 crore, revenue of ₹526.7 crore, and margins improved to 11.6%.

ALSO READ | Raymond Realty Q4 update: Pre-sales jump 139% in MMR; collections modest

Shares of Raymond Realty Ltd ended at ₹584.90, up by ₹13.45, or 2.35%, on the BSE.



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