Eldeco Infrastructure files papers for ₹1,000cr IPO with SEBI
What's the story
Eldeco Infrastructure Limited has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for an Initial Public Offering (IPO) worth ₹1,000 crore. The Haryana-based company plans to raise this amount through a mix of fresh issue shares worth ₹800 crore and an offer-for-sale (OFS) of up to ₹200 crore by promoter selling shareholders. Each equity share will have a face value of ₹5.
Share sale
Major shareholders to offload their stakes
The promoters of Eldeco Infrastructure, Pankaj Bajaj and Bandana Kohli, will be selling their equity shares through the OFS. Bajaj's share sale is worth ₹102 crore while Kohli's is worth ₹98 crore. The company may also consider a pre-IPO placement of up to ₹160 crore in consultation with the book-running lead managers. If this happens, it will reduce the size of the fresh issue accordingly.
Fund allocation
Proceeds to be utilized for repayment of loans
The proceeds from the fresh issue will mainly be used to repay or prepay certain outstanding borrowings of Eldeco Infracon Realtors Ltd., a key subsidiary of the company. The rest of the funds will be used for general corporate purposes. IIFL Capital Services and JM Financial are the book-running lead managers for this IPO while KFin Technologies Limited is its registrar.
Market reach
Leading real estate developer in North India
Eldeco is a leading real estate developer in North India with a strong presence in Delhi-NCR and tier II and III cities. The company has been active since 2000, executing completed and ongoing projects across over 20 Indian cities. As of March 31, 2025, Eldeco has delivered 86 projects including residential townships, low-rise apartments, and group housing developments covering over 50 million square feet.
Future plans
Ongoing and upcoming projects across North India
As of March 31, 2025, Eldeco has 19 ongoing projects with a total saleable area of 7.24 million square feet and 18 upcoming projects with an additional saleable area of 7.37 million square feet across 14 cities. The company's operations span several locations in North India including Delhi, Noida, Greater Noida, and Bareilly (Uttar Pradesh); Sohna, Gurugram, Panipat, Sonipat, and Panchkula (Haryana); Jalandhar, Ludhiana (Punjab); Sirmaur (Himachal Pradesh); Neemrana (Rajasthan); Rudrapur, Narendra Nagar (Uttarakhand).
Financial growth
Revenue from operations almost tripled in fiscal 2025
In fiscal 2025, Eldeco's revenue from operations witnessed a massive jump, almost tripling to ₹694.98 crore as compared to ₹240.73 crore in fiscal 2024. This significant growth highlights the company's strong performance and potential for future expansion in the real estate sector. With its IPO plans, Eldeco Infrastructure aims to further strengthen its financial position and continue delivering quality projects across North India.