Kalpataru's Rs 1,590 Crore IPO Opens: A Strategic Move in the Real Estate Sector
Real estate major Kalpataru's Rs 1,590 crore IPO opens on Tuesday, with the price band set at Rs 387-414. The funds will be used for debt pre-payment and general corporate purposes.
IpoKalpataruReal EstateMmrDebt PrepaymentReal EstateJun 19, 2025
The IPO is a significant move for the 55-year-old company, which has a robust track record in the real estate sector. At the upper end of the price band, Kalpataru is valued at around Rs 8,500 crore. This valuation underscores the company’s strong position in the market and its potential for growth.
As much as Rs 950 crore of the IPO proceeds will be used for pre-payment of debt, which stands at a little over Rs 10,000 crore. The remaining funds will be allocated for general corporate purposes. Kalpataru has delivered over 25 million square feet of developed areas across 155 projects, showcasing its expertise and commitment to quality.
Kalpataru is part of the Kalpataru Group, which also includes a listed infrastructure arm called Kalpataru Projects International. This subsidiary is primarily involved in building energy infrastructure through Engineering, Procurement, and Construction (EPC) projects for power transmission and distribution, oil and gas, railways, civil infrastructure, warehousing, logistics, and facility management. The group’s diversified portfolio strengthens Kalpataru's position in the market.
Kalpataru’s projects are predominantly located in the MMR and Pune, with additional developments in Hyderabad and Noida, Uttar Pradesh. The company specializes in developing luxury, premium, and mid-income residential, commercial, and retail projects, integrated townships, lifestyle gated communities, and redevelopments. This diverse portfolio allows Kalpataru to cater to a wide range of customer needs and preferences.
Meanwhile, Kolkata-based industrial gas company Ellenbarrie Industrial Gas has also set its IPO price band at Rs 380-400 for a Rs 852 crore issue that opens on the same day. This IPO comprises a fresh issue of Rs 400 crore and an offer for sale (OFS) of 11.3 million shares aggregating to Rs 452 crore at the upper end of the price band. The promoters, Padam Kumar Agarwala and Varun Agarwal, will be selling 11.3 million shares, which will fetch around Rs 452.5 crore at the upper price band.
Ellenbarrie Industrial Gas plans to use Rs 210 crore from the fresh issue to repay borrowings and Rs 104.5 crore for setting up an air separation unit at its Uluberia-II plant in Bengal with a capacity of 220 tonnes per day. The remaining funds will be set aside for general corporate purposes.
Both IPOs are expected to attract significant interest from investors, given the companies' strong fundamentals and growth prospects. Kalpataru’s IPO, in particular, is a strategic move that could further solidify its position in the real estate sector and pave the way for future expansion and development.
Frequently Asked Questions
What is the total value of Kalpataru's IPO?
Kalpataru's IPO is valued at Rs 1,590 crore.
What is the price band for Kalpataru's IPO?
The price band for Kalpataru's IPO is set at Rs 387-414.
How much of the IPO proceeds will be used for debt pre-payment?
Rs 950 crore of the IPO proceeds will be used for pre-payment of debt.
What are the main types of projects Kalpataru develops?
Kalpataru develops luxury, premium, and mid-income residential, commercial, and retail projects, integrated townships, lifestyle gated communities, and redevelopments.
Where are Kalpataru's projects primarily located?
Kalpataru's projects are primarily located in the MMR (Mumbai Metropolitan Region) and Pune, with additional projects in Hyderabad and Noida, Uttar Pradesh.
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