Suraj Estate Developers Raises INR 343 Crore to Bolster Real Estate Growth
Suraj Estate Developers has successfully raised INR 343 crore through a combination of equity shares and convertible share warrants, marking a significant step towards enhancing its market position in the real estate sector. The funds will be used for lan
Suraj Estate DevelopersReal EstateFundraisingEquity SharesConvertible WarrantsReal Estate NewsOct 27, 2024
The fundraising initiative includes INR 243 crore raised through the issue of equity shares and an additional INR 100 crore from convertible share warrants. The preferential allotment of 21,05,467 fully paid-up equity shares, each with a face value of INR 5, was approved by the board of directors. These shares were issued at a price of INR 714, including a premium of INR 709, raising a total of approximately INR 243.64 crore from non-promoter group allottees.
Following this allotment, the company’s paid-up capital has increased from INR 22,83,39,605, representing 4,56,67,921 equity shares, to INR 23,88,66,940, comprising 4,77,73,388 equity shares, all with a face value of INR 5 each.
Additionally, the company’s board of directors has approved the allotment of 13,30,000 fully convertible warrants, each priced at INR 750, totaling INR 99.75 crore. The company has received 25% of the issue price, which is INR 187.50 per warrant, amounting to a total of INR 24.93 crore. Warrant holders will have the option to pay the remaining 75% of the issue price, set at INR 562.50 per warrant, within 18 months from the date of warrant issuance.
The issuance of equity shares and convertible share warrants has led to a dilution of the promoter and promoter group's holding from 74.95% to 67.71% on a fully diluted basis. This dilution reflects Suraj Estate Developers’ commitment to expanding its shareholder base and fostering sustainable growth in both residential and commercial segments.
The successful fundraising is a significant step for Suraj Estate Developers, enhancing its operational capacity and market position. The company plans to utilize the raised funds for various purposes, including land acquisitions, working capital, general corporate needs, and expenses related to the issuance. By strategically allocating these funds, Suraj Estate Developers aims to capture emerging opportunities and deliver value to its stakeholders.
Frequently Asked Questions
How much did Suraj Estate Developers raise in total through this fundraising initiative?
Suraj Estate Developers raised a total of INR 343 crore through a combination of equity shares and convertible share warrants.
What is the purpose of the funds raised by Suraj Estate Developers?
The funds raised will be used for land acquisitions, working capital, general corporate needs, and expenses related to the issuance.
How many equity shares were issued, and what was the issue price per share?
Suraj Estate Developers issued 21,05,467 fully paid-up equity shares at a price of INR 714 per share.
What is the total value of the convertible share warrants issued, and how many warrants were issued?
The company issued 13,30,000 fully convertible warrants, each priced at INR 750, totaling INR 99.75 crore.
What is the promoter group's holding percentage after the issuance of equity shares and warrants?
The promoter and promoter group's holding has been diluted from 74.95% to 67.71% on a fully diluted basis.
Related News Articles
Indian Realty Giants Unload Properties Worth Rs 1.17 Lakh Crore in FY24
Leading real estate companies in India, such as Macrotech Developers and Signature Global, have sold properties worth a staggering Rs 1.17 lakh crore in FY24.
Soaring Demand Drives Up Property Prices in Delhi-NCR and MMR
Average housing prices in Delhi-NCR and Mumbai Metropolitan Region (MMR) have risen by nearly 50% in the last five years, driven by higher demand and infrastructural developments.
Aditya Birla Real Estate: Pune Launch on the Cards, Expanding in Thane and Sarjapur
In a recent post-earnings call, the management of Aditya Birla Real Estate Ltd, formerly known as Century Textiles and Industries Ltd, announced the upcoming launch of a new project in Pune, along with plans to expand in Thane and Sarjapur.
ACRES 2025 Showcases Over 400 Property Projects in Egypt Pavilion
Organised by the Sharjah Chamber of Commerce and Industry (SCCI) in collaboration with the Sharjah Real Estate Registration Department (SRERD), the ACRES 2025 event is set to feature an extensive array of property projects from Egypt, highlighting the cou
The 23-Year Journey: How a UP Man Purchased Dawood Ibrahim’s Mumbai Shop
Hemant Jain took a significant risk in 2001 by purchasing a Mumbai shop linked to Dawood Ibrahim. Despite numerous bureaucratic obstacles, he finally managed to register the property after a grueling 23-year battle.
What Are the Top 20 Expectations for the Budget 2025-26?
As the Union Budget 2025-26 approaches, scheduled to be presented by Finance Minister Nirmala Sitharaman on February 1 (Saturday), the real estate industry and other sectors are bracing for significant changes and potential boosts. Here’s a detailed look