Runwal Enterprises Secures SEBI Approval for Rs 1,000 Crore IPO
Subodh Runwal-promoted Runwal Enterprises, a prominent Mumbai-based real estate developer, has secured the Securities and Exchange Board of India (SEBI) approval for its initial public offering (IPO) worth Rs 1,000 crore. The IPO will test the market's appetite for real estate offerings amid record-high property sales in Mumbai.
Real EstateIpoMumbaiProperty SalesRunwal EnterprisesReal Estate MumbaiAug 20, 2025
According to the regulator’s filing, the proposed IPO will be a fresh issue of equity shares with a face value of Rs 2 each and will not include any offer-for-sale component. The developer, known for its robust presence in both residential and commercial markets in Mumbai, plans to use the IPO proceeds to fuel its expansion and strengthen its balance sheet.
The offer structure includes a reservation of shares for eligible employees, who will receive a discount on subscription in the employee quota. The issue will be conducted via the book-building route. As per SEBI’s regulations, at least 75% of the net issue will be allocated to qualified institutional buyers, not more than 15% to non-institutional bidders, and a minimum of 10% to retail individual investors. The company has also left room for a pre-IPO placement of up to ₹200 crore, which, if undertaken, will adjust the size of the fresh issue accordingly.
Runwal Enterprises, founded by Subodh Runwal, has a legacy spanning over four decades in the real estate sector. Initially focused on affordable and mid-income housing, the group has expanded into premium and luxury developments. In recent years, Runwal has extended its footprint beyond the eastern suburbs into premium locations such as Mahalaxmi and Bandra. The company also operates retail malls, commercial spaces, and educational buildings, solidifying its position as a diversified player in Mumbai’s property landscape.
Between January 2019 and September 2024, Runwal Enterprises ranked second in Mumbai in terms of both new residential launches and sales, with market shares of 5.69% and 5.25%, respectively. In the Kalyan-Dombivli submarket, the developer held a dominant share, accounting for 17.63% of total sales and 20.84% of new launches during the same period.
As of September 30, 2024, the company’s portfolio included 15 completed projects, 25 ongoing projects, and 32 upcoming developments. Its residential portfolio has a total Developable Area and Estimated Developable Area of 48.71 million square feet. The DRHP outlines the company's ambition to become a full-service developer in Mumbai, spanning affordable, mid-income, and luxury residential projects, as well as commercial and mixed-use communities that integrate amenities and iconic landmarks.
The company’s financials show strong growth momentum. According to the restated consolidated statements, Runwal Enterprises reported revenues from operations of ₹662.19 crore in FY24, a 188.55% jump from ₹229.49 crore in FY23. Profit after tax for FY24 stood at ₹107.28 crore. For the six months ended September 30, 2024, revenues came in at ₹270.52 crore with a profit after tax of ₹25.53 crore.
The IPO will be managed by ICICI Securities Limited and Jefferies India Private Limited as book-running lead managers, while MUFG Intime India Private Limited will act as registrar. The company has proposed to list its equity shares on both the BSE and NSE.
With this clearance, Runwal Enterprises joins a growing list of Mumbai-based developers tapping the capital markets to fuel growth amid robust housing demand and increasing investor interest in the real estate sector. Market analysts said the IPO will test the appetite for real estate offerings at a time when property sales in Mumbai have reached record highs, particularly in the mid-income and luxury categories.
Frequently Asked Questions
What is the value of Runwal Enterprises' IPO?
The IPO of Runwal Enterprises is worth Rs 1,000 crore.
Who founded Runwal Enterprises?
Runwal Enterprises was founded by Subodh Runwal.
What is the primary use of the IPO proceeds?
The IPO proceeds will be used to fuel the company's expansion and strengthen its balance sheet.
How many completed projects does Runwal Enterprises have as of September 30, 2024?
As of September 30, 2024, Runwal Enterprises had 15 completed projects.
Which markets does Runwal Enterprises target in Mumbai?
Runwal Enterprises targets both residential and commercial markets in Mumbai, including affordable, mid-income, and luxury residential projects.
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