Over Rs 190 crore raised from anchor investors ahead of IPO- Keystone Realtors

Morgan Stanley, Saint Capital and Abu Dhabi Investment Authority had nearly 35 per cent of the anchor investor share.

NEW DELHI: Rustomjee, a brand owned by Keystone Realtors on Friday said it saw participation from a wide variety of investors and has collected above Rs 190 crore from anchor investors’ days before its initial public offering (IPO). The company has decided to allot 35.21 lakh equity shares to 16 anchor investors at Rs 541 apiece, taking the transaction size to Rs 190.5 crore, according to a circular uploaded on BSE website.

Apart from Abu Dhabi Investment Authority, Morgan Stanley and Saint Capital the domestic mutual funds such as Aditya Birla Mutual Fund, IDFC Mutual Fund, Tata Mutual Fund and Quant Mutual Fund also participated in the anchor investor portion. The international anchor investors accounted for nearly 35 per cent of the anchor investor portion.

SBI Life Insurance and HDFC Life Insurance Company too were part of the anchor investors.

The Mumbai-based Keystone Realtors is aiming to raise Rs 635 crore through the IPO, which consists of a fresh issue of equity shares totaling up to Rs 560 crore and an Offer-For-Sale (OFS) worth Rs 75 crore by promoters.

The issue, will open for public subscription on November 14 and conclude on November 16 starting with a price band of Rs 514-541 a share.

As part of the OFS, promoter Boman Rustom Irani will now sell shares worth up to Rs 37.5 crore and stocks to the tune of Rs 18.75 crore each will be offloaded by Percy Sorabji Chowdhry and Chandresh Dinesh Mehta.

The company plans to use the net proceeds for funding the repayment/prepayment of borrowings made in past to the tune of Rs 341.6 crore. Funds will be directed for funding the acquisition of future real estate projects and general corporate purposes.

Half of the issue size has been reserved for qualified institutional investors, 35 per cent for retail investors and the remaining 15 per cent for non-institutional investors. Investors can bid for a minimum of 27 equity shares and in multiples thereof.

Founded in 1995, Keystone Realtors has 32 completed projects, and has 12 ongoing projects and 19 forthcoming projects across the Mumbai Metropolitan Region (MMR) that includes a comprehensive range of projects under the affordable, mid and mass, aspirational, premium and super premium categories, all under their Rustomjee brand.

Follow and Connect with us: Twitter, Facebook, Linkedin, Instagram