Macrotech Developers will utilise the IPO proceeds to repay debts and acquire landMacrotech Developers (formerly Lodha Developers)' Rs 2,500-crore initial public offering (IPO) is set to debut on the bourses on Monday i.e.
April 19.
The IPO, which was open between April 7 and April 9, had received a tepid response from all category of investors.
The public issue was subscribed by a mere 1.36 times; the portion set aside for qualified institutional buyers was subscribed 3.05 times, non-institutional investors segment attracted 1.44 times subscription and retail participants' portion, 40 per cent.
However, what is significant is that the company managed to raise funds its third attempt, after two successive failures in 2009 and 2018 due to weak market conditions.Macrotech Developers will utilise the IPO proceeds to repay debts and acquire land.Macrotech Developers was founded by Mangal Prabhat Lodha in Mumbai.
It is primarily engaged in affordable residential real estate, but has also made a mark in the luxury housing space, with projects such as Trump Towers in Mumbai and Grosvenor Square in London.ICICI Securities, Edelweiss Financial Services, IIFL Securities, JM Financial, YES Securities, SBI Capital Markets and BOB Capital Markets are the book running lead managers, whereas Link Intime India is the registrar to the issue.