Company Overview:
Arkade Developers Limited is a well-established real estate company known for its focus on premium residential developments in Mumbai, Maharashtra. The company operates through two main verticals:
- New Residential Projects: These involve the development and construction of residential buildings on land owned by the company.
- Redevelopment Projects: Focused on revitalizing and reconstructing existing structures.
Business Operations and Track Record
Since its establishment, Arkade Developers has concentrated on delivering lifestyle-oriented residential projects. Between 2017 and the first quarter of 2024, the company initiated 1,220 residential units and successfully sold 1,045 units in the Mumbai Metropolitan Region (MMR). As of June 30, 2024, the company had developed over 2.20 million square feet of residential space.
From 2003 to March 2024, Arkade Developers completed 11 redevelopment projects in Mumbai's western suburbs, along with one project in south-central Mumbai through a joint venture, covering approximately 1 million square feet of constructed area.
IPO Objectives
The proceeds from the IPO will be directed towards:
- Financing ongoing projects.
- Acquiring new projects.
- General corporate expenses.
Promoter Information
The company’s promoter is Mr. Amit Mangilal Jain.
- Pre-Issue Shareholding: 85.58%
- Post-Issue Shareholding: 70.82%
Summary of Financial Information:
| Period Ended | 31-Mar-24 | 31-Mar-23 | 31-Mar-22 |
|---|---|---|---|
| Assets | 575.01 | 555.41 | 369.97 |
| Revenue | 635.71 | 224.01 | 237.18 |
| Profit After Tax | 122.81 | 50.77 | 50.84 |
| Net Worth | 323.4 | 200.32 | 149.5 |
| Reserves and Surplus | 171.4 | 198.32 | 147.49 |
| Total Borrowing | 69.41 | 149.00 | 64.41 |
Comparison with Listed Peers:
| Company Name | P/E | P/B | RoE (%) |
|---|---|---|---|
| Arkade Developers Ltd | 16 | 3 | 46 |
| Keystone Realtors Ltd | 100 | 5 | 6 |
| Godrej Properties Ltd | 73 | 8 | 7 |
| Macrotech Developers Ltd | 64 | 7 | 11 |
| Suraj Estate Developers Ltd | 40 | 6 | 23 |
Key IPO Details:
- IPO Dates: 16 to 19 September 2024
- Price Band: Rs. 121 to Rs. 128 per share
- Lot Size: 110 shares
- Total Issue Size: Rs. 410.00 crore (Fresh Issue: Rs. 410 Cr.)
- Listing Date: 24 Sep, 2024
- Retail Quota: 35%
- GMP: +46% (For information only)
Note: For additional information & risk factors please refer to the Red Herring Prospectus
Join our WhatsApp Group for Trading/Investment ideas & Market Updates 👇
Disclaimer: We are not SEBI registered. All the views are personal and only for educational purposes. Do your due diligence before making any trading or investing decisions. The data provided in this blog post is for illustrative purposes only and does not constitute financial advice. Always consult with a qualified financial advisor before making investment decisions.
