Veegaland Developers Seeks Rs 250 Crore via IPO to Boost Real Estate Projects
Veegaland Developers, a prominent real estate developer part of the V-Guard group, has taken a significant step towards expanding its operations by filing draft papers with the Securities and Exchange Board of India (Sebi). The company aims to raise Rs 250 crore through its initial public offering (IPO) to finance its growth and development projects.
The IPO is a completely fresh issue of shares with no Offer-for-Sale (OFS) component, as detailed in the draft red herring prospectus (DRHP) filed on Tuesday. This strategic move is designed to bolster the company's financial strength and enhance its market presence in the competitive real estate sector.
A significant portion of the funds raised, up to Rs 111.60 crore, will be allocated to finance the development of ongoing and upcoming projects. Additionally, the company plans to invest Rs 18.49 crore in acquiring identified land parcels for residential real estate projects. The remaining amount will be utilized for future land acquisitions and general corporate purposes, ensuring a well-rounded approach to expansion.
Veegaland Developers specializes in the planning, development, and sale of multi-storied residential apartment projects in Kerala. The company caters to a wide range of segments, including mid-premium, premium, ultra-premium, luxe-series, and ultra-luxury residential markets. As of October 31, 2025, the company has successfully completed 10 residential projects, totaling 11.05 lakh square feet of saleable area. Currently, Veegaland has nine ongoing projects, which aggregate to 12.67 lakh square feet of saleable area.
To support its future residential development, the company maintains land reserves aggregating 7.20 acres across Kochi and Trivandrum, Kerala. These reserves are subject to the receipt of applicable statutory approvals, feasibility assessments, and market conditions. This strategic land acquisition and development plan underscores Veegaland's commitment to sustainable growth and customer satisfaction.
Cumulative Capital, a reputable financial institution, has been appointed as the sole book-running lead manager for the issue. This partnership is expected to enhance the transparency and efficiency of the IPO process, ensuring that investors have access to accurate and timely information.
The move to go public is a testament to Veegaland Developers' strong market position and its ability to deliver high-quality residential projects. By raising capital through the IPO, the company aims to accelerate its expansion plans and solidify its leadership in the real estate sector in Kerala and beyond.
In conclusion, the filing of the IPO papers by Veegaland Developers marks a significant milestone in the company's journey. It reflects the company's commitment to growth, innovation, and excellence in the real estate industry. Investors and stakeholders can look forward to an exciting future as Veegaland continues to shape the landscape of residential real estate in Kerala.
