Godrej Properties to raise up to ₹4,000 cr via QIP, seeks to sell 5.5% equity: Sources

Mumbai-based real estate developer Godrej Properties is seeking to launch a Qualified Institutional Placement (QIP) to sell up to 5.5% of its equity, or approximately 1.54 crore shares, at an indicative price of ₹2,595 per share, source told CNBC-TV18.

The company aims to raise up to ₹4,000 crore through this issuance. The₹2,595 per share represents a discount of 5% discount to the floor price of ₹2,727.44 apiece set by the company in its previous fund-raising exercise, according to the sources.

Earlier in the day, Godrej Properties said it officially opened its ₹6,000 crore Qualified Institutions Placement (QIP) on Wednesday, offering equity shares with a floor price set at ₹2,727.44 per share.

The issue follows approval from the company’s Board and shareholders through a special resolution passed in October 2024. The company may offer a discount of up to 5% on the floor price for the issue, it said in a statement filed with both stock exchanges.

Godrej Properties intends to raise these funds through the issue equity shares, fully convertible debentures, partly convertible debentures, non-convertible debentures, preference shares convertible into equity shares, eligible securities or through any other method permissible.

The funds could be raised by the company in one or more tranches through public or private offerings including a Qualified Institutional Placement (QIP), rights issue, a Further Public Offer (FPO) or any other method under applicable law.

At the end of the June quarter, Godrej Properties had reported a net debt of ₹7,432 crore, which is higher than the ₹6,198 crore figure at the end of the March quarter and ₹5,298 crore at the end of the June quarter last year.

Shares of Godrej properties ended 2.4% lower at ₹2,831.00 on Wednesday. The stock has fallen nearly 5% so far this month but is up 6% this week.

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