Prozone Realty Ltd. Surges 20% After Announcing 26% Stake Acquisition via Open Offer
Prozone Realty Limited, a leading real estate developer, has seen its stock price hit a 20% upper circuit after announcing a 26% stake acquisition through an open offer. This move has significantly boosted investor confidence in the company.
Prozone Realty LimitedReal EstateStock PriceOpen OfferMarket CapitalizationReal EstateJan 01, 2025
The company's stock price has surged by 20%, hitting the upper circuit at Rs.
33.14 per share, up from its previous closing price of Rs.
27.62 per share.
This surge in stock price is a result of an open offer to acquire 26% equity in Prozone Realty Limited, announced by M/s.
Apax Trust through its trustee, Mr.
Nikhil Chaturvedi.
Stock Price Movement
With a market capitalization of Rs.
505.73 crores, the stock of Prozone Realty Limited made a remarkable jump on Thursday.
The 20% increase in stock price is a clear indication of the market's positive response to the open offer.
The offer, valued at Rs.
25 per share, totals ₹99.19 crores, and it adheres to all SEBI regulations.
This strategic acquisition underscores the company's commitment to growth and expansion in the real estate sector.
What Happened
M/s.
Apax Trust, acting through its trustee, Mr.
Nikhil Chaturvedi, has announced an open offer to acquire 26% of the equity in Prozone Realty Limited.
This acquisition, valued at Rs.
25 per share, amounts to approximately ₹99.19 crores.
The offer is in line with SEBI regulations and highlights the strategic move to strengthen Prozone Realty Limited's position in the real estate market.
Brand Partners
Prozone Realty Limited's flagship mall in Aurangabad has established itself as a premier retail destination, hosting over 50 national and international brands.
Notable names like H&M, Adidas, Apple, and McDonald’s are just a few of the brands that call this mall home.
The mall's success is a testament to Prozone’s expertise in developing large-format retail spaces that cater to a wide range of consumer needs.
Products and Services
Prozone Realty Limited specializes in real estate development, offering a wide array of services including the development, ownership, and operation of shopping malls, commercial complexes, and residential projects.
The company's flagship Prozone Mall in Aurangabad features over 10 anchor tenants and 100 stores, making it a bustling retail hub.
In addition to property development, Prozone also provides leasing services for retail and commercial spaces, generating revenue through both property sales and leasing.
Recent Quarter Results and Ratios
In the recent quarter, Prozone Realty Limited has demonstrated strong financial performance.
The company's revenue increased by 28.58% from Rs.
38 crores in Q2 FY24 to Rs.
48.86 crores in Q2 FY25.
The net profit has seen a significant growth of 89.11%, rising from Rs.
3.58 crores in Q2 FY24 to Rs.
0.39 crores in Q2 FY25.
Over the past three years, Prozone's revenue has grown at a CAGR of 60.20%.
The company's return on capital employed (ROCE) and return on equity (ROE) are 3.78% and 0.45%, respectively.
The debt-to-equity ratio of 0.83x indicates that the company is almost debt-free, and its earnings per share (EPS) is Rs.
-0.77.
Shareholding Pattern
As of September 2024, the shareholding pattern of Prozone Realty Limited is as follows promoters hold 23.39%, foreign institutional investors (FIIs) hold 3.01%, and the public holds 73.60%.
This distribution shows a broad base of investors and a significant public stake, which can be seen as a positive sign for the company's market perception.
Company Overview
Prozone Realty Limited was founded in 2007 and is headquartered in Mumbai.
The company specializes in developing, owning, and operating shopping malls, commercial spaces, and residential properties.
It also offers management consultancy services related to real estate operations.
Prozone has established a strong presence in the Indian real estate sector, known for its high-quality projects and strategic investments.
Frequently Asked Questions
What is Prozone Realty Limited known for?
Prozone Realty Limited is known for developing, owning, and operating shopping malls, commercial spaces, and residential properties. They also offer management consultancy services related to real estate operations.
How much did Prozone Realty Limited's stock price increase?
Prozone Realty Limited's stock price surged by 20%, reaching an upper circuit of Rs. 33.14 per share.
What is the value of the open offer announced by M/s. Apax Trust?
The open offer to acquire 26% equity in Prozone Realty Limited is valued at Rs. 25 per share, amounting to approximately ₹99.19 crores.
What is the market capitalization of Prozone Realty Limited?
The market capitalization of Prozone Realty Limited is Rs. 505.73 crores.
What is the shareholding pattern of Prozone Realty Limited?
As of September 2024, the shareholding pattern of Prozone Realty Limited is: promoters hold 23.39%, foreign institutional investors (FIIs) hold 3.01%, and the public holds 73.60%.
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