Macrotech To Cut Debt By 24% To Rs12,700 Cr Post-IPO

Realty major Macrotech Developers, erstwhile Lodha Developers, on 5th March said it will reduce net debt by 24 per cent to ?12,700 crore post its initial public offer (IPO), which hits the capital market on 31st March. Mumbai-

BY Realty Plus
Published - Wednesday, 07 Apr, 2021

Macrotech To Cut Debt By 24% To Rs12,700 Cr Post-IPO

Realty major Macrotech Developers, erstwhile Lodha Developers, on 5th March said it will reduce net debt by 24 per cent to ?12,700 crore post its initial public offer (IPO), which hits the capital market on 31st March. Mumbai-based Macrotech Developers has sold properties worth ?50,000 crore in the last seven years (FY14 to FY20), making it the largest developer in terms of annual sales bookings, its Managing Director Abhishek Lodha told. The company will launch its IPO on April 7 to raise ?2,500 crore through a fresh issue of shares. The issue will close on April 9. The price band is ?483-486 per share. From IPO proceeds, Macrotech mainly proposes to reduce debt by up to ?1,500 crore and acquire land or land developmental rights aggregating up to ?375 crore. Abhishek expressed confidence that its IPO will be successful given the response that the company has been receiving from domestic and global investors in pre-IPO roadshows. This is the third attempt by Lodha Developers to launch a public issue and list its shares on the stock exchanges. In 2009 and 2018, the company had filed IPO documents and also got Sebi approvals but did not hit the capital market as market conditions were not conducive. Abhishek said the company, which has a presence in the London property market with the development of two properties, will now focus on India business for growth. Macrotech will continue to focus on Mumbai Metropolitan Region (MMR) and Pune markets and that too in affordable and mid-income housing. "In India, we are the largest developer in terms of sales bookings. In last seven years, we have sold properties worth over ?50,000 crore," he added.