Keystone Realtors' Rs 635-crore IPO subscribed 8% on Day 1 of offer

The Initial Public Offering (IPO) of Keystone Realtors, which sells properties under the brand 'Rustomjee', was subscribed 8 per cent on the first day of subscription on Monday.

The Rs 635-crore IPO received bids for 7,24,599 shares against 86,47,858 shares on offer, according to an update available with the NSE.

The category meant for Retail Individual Investors (RIIs) was subscribed 12 per cent and the quota for non institutional investors got 11 per cent subscription.

The initial public offering has a fresh issue of up to Rs 560 crore and an offer for sale of up to Rs 75 crore.

Price range for the offer is at Rs 514-541 a share.

Keystone Realtors on Friday said it has collected a little over Rs 190 crore from anchor investors.

The company intends to utilise the net proceeds towards funding the repayment/prepayment of borrowings to the tune of Rs 341.6 crore as well as towards funding the acquisition of future real estate projects and general corporate purposes.

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 Rustomjee brand.

The realty firm has developed 20.05 million square feet of high-value and affordable residential buildings, premium gated estates, townships, corporate parks, retail spaces, schools, iconic landmarks and various other real estate projects as of March 2022.

Axis Capital and Credit Suisse Securities (India) are the managers to the offer.