Realty developer Anant Raj to raise up to Rs 2,000 crore via QIP

Listed realty developer Anant Raj Ltd will raise up to Rs 2,000 crore via Qualified Institutional Placement (QIP) for expansion and development of projects.

Earlier this year, the company had raised Rs 500 crore QIP and used part of the funds raised to bring down the debt and working capital requirements.

The company has plans to invest around Rs 1,000 crore to develop a total of four projects across Gurugram, Delhi, and Tirupati.

The company reported 78% year-over-year increase in Profit After Tax (PAT), which rose to Rs 104.44 crore in July-September quarter from Rs 58.74 crore in the same quarter a year ago.

Revenue from operations saw a 54% increase, reaching Rs 512.85 crore, compared to Rs 332.28 crore during the same period last year.

“The robust financial performance reflects Anant Raj’s strategic focus on high-growth areas and its commitment to operational efficiency. In line with its vision for sustainable expansion, the board also approved key initiatives to fuel future growth, including a Qualified Institutional Placement (QIP) to raise up to Rs 2,000 crore for expansion and development projects,” the company said in a statement. The real estate sector accounted for about 17% of qualified institutional placements (QIPs) in the first nine months of 2024, raising Rs 12,801 crore — second only to the renewable energy sector in terms of the funds raised.After the pandemic, Indian real estate developers have been aggressively tapping capital markets through initial public offerings QIPs, according to real estate consultancy Anarock’s analysis of available data trends of listed developers on the National Stock Exchange.

Indian companies raised Rs 75,923 crore via QIPs across sectors till the end of September this year, according to the data. In QIPs, companies sell shares publicly to institutional investors.

As per investor presentation, Anant Raj Ltd holds 300 plus acres of land in prime area of Delhi and Gurugram and ready inventory of office space of about 5 million sq ft.

Currently about 10 million sq ft of residential projects are under development and targeted to add 8 million sq ft of projects in next 12-24 months in Gurugram and South Delhi.

The company is developing a 300 MW power load data center at 3 locations in Haryana for which building is ready and setting up of infrastructure is in pipeline.

The company is developing a luxury residential project in Gurugram, an affordable housing project in Tirupati, a planned commercial or residential project in Gurugram, besides converting its existing motel near Delhi airport into a multi-storey hotel and office building.

Anant Raj has also planned an expansion of its affordable housing portfolio by developing an additional 1,900 units of 2 BHK homes in Tirupati, Andhra Pradesh