Prestige Estates Eyes Rs 5000 Crore Fundraising via QIP, Hotel Business Monetization
Realty major Prestige Estates plans to raise up to Rs 5000 crore through Qualified Institutional Placement and monetize its hotel business to strengthen its balance sheet.
Prestige EstatesQipFundraisingHospitalityReal Estate DevelopmentReal EstateJun 22, 2024
The QIP route will enable Prestige Estates to raise the necessary funds without diluting the stake of existing shareholders. The company's board has also formed a sub-committee to oversee the process of monetizing its hospitality assets. This sub-committee will ensure compliance with all regulatory requirements, coordinate with advisors and underwriters, and make all necessary arrangements.
Prestige Estates is one of the leading real estate developers in India, with a proven track record of delivering high-quality projects. In the financial year 2023-24, the company reported a net profit of Rs 1,374.1 crore, up from Rs 941.8 crore in the preceding year. Total income also increased to Rs 9,425.3 crore, up from Rs 8,772 crore in 2022-23.
On the operational front, Prestige Estates reported a 63% annual increase in sales bookings for the last financial year, with a record Rs 21,040 crore in sales. This growth can be attributed to strong demand for its residential properties and higher average sales realization.
As a leading developer, Prestige Group has completed an impressive 300 projects, spanning a developable area of around 190 million square feet. The company's strong brand reputation, coupled with its ability to raise funds and monetize its hotel business, will help it to strengthen its balance sheet and drive future growth.
Information Prestige Estates Projects Ltd is a leading Indian real estate developer, with a presence across various segments, including residential, commercial, retail, and hospitality. The company is known for its high-quality projects, which have earned it a strong reputation in the industry.
Prestige Estates Projects Ltd is a leading Indian real estate developer, with a presence across various segments, including residential, commercial, retail, and hospitality.
Frequently Asked Questions
How much does Prestige Estates plan to raise through QIP?
Prestige Estates plans to raise up to Rs 5000 crore through Qualified Institutional Placement (QIP).
What is the company's plan for its hotel business?
Prestige Estates plans to monetize its hotel business through its arm Prestige Hospitality Ventures Ltd.
What was Prestige Estates' net profit in the financial year 2023-24?
Prestige Estates reported a net profit of Rs 1,374.1 crore in the financial year 2023-24.
What was the company's total income in the financial year 2023-24?
Prestige Estates reported a total income of Rs 9,425.3 crore in the financial year 2023-24.
How many projects has Prestige Group completed?
Prestige Group has completed 300 projects, spanning a developable area of around 190 million square feet.
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