Godrej Properties successfully raised Rs.1,160 crore Through Non-convertible Debentures

Godrej Properties a prominent real estate firm, announced that it successfully raised Rs 1,160 crore through the issuance of non-convertible debentures (NCDs) on a private placement basis. The allotment committee of the board of directors approved the allotment of the NCDs. The company allotted a total of one lakh rated listed unsecured redeemable NCDs, with a face value of Rs 1,00,000 each, amounting to Rs 1,000 crore for Series I NCDs. These NCDs have a maturity date of March 19, 2027, with a coupon rate of 8.3 percent.

Additionally, Godrej Properties allotted 16,000 NCDs, with a face value of Rs 1 lakh each, aggregating to Rs 160 crore for Series II NCDs. These NCDs have a maturity date of September 20, 2028, and a coupon rate of 8.5 percent. The interest for all NCDs will be paid annually.

This fundraising initiative comes after the company received enabling approval from the board to raise funds, up to Rs 2,000 crore, through the issuance of NCDs, bonds, or other debt securities on a private placement basis. Godrej Properties, a subsidiary of the business conglomerate Godrej Industries, is a leading real estate developer in India. The company primarily focuses on developing residential projects in key markets like Delhi-NCR, Mumbai Metropolitan Region, Bengaluru, and Pune. For the current fiscal year, the company anticipates a 14 percent growth in sale bookings, reaching a record Rs 14,000 crore due to robust housing demand. In the June quarter, Godrej Properties witnessed a substantial increase in consolidated net profit, totalling Rs 124.94 crore compared to Rs 45.55 crore in the same period last year.

The company's total income during the quarter rose to Rs 1,265.98 crore from Rs 426.40 crore in the corresponding period of the previous year. However, sales bookings witnessed a decline of 11 percent to Rs 2,254 crore in the quarter, and in terms of volumes, the sale bookings dropped by 20 percent. Nonetheless, the company successfully delivered 4.9 million square feet area in the June quarter.