Bollywood Stars and Ashish Kacholia-Backed Sri Lotus Developers Receives SEBI Nod for ₹792 Crore IPO

Mumbai-based real estate firm Sri Lotus Developers and Realty Ltd has received approval from the Securities and Exchange Board of India (SEBI) to launch its ₹792 crore Initial Public Offering (IPO). The company, founded by film producer Anand Pandit, is backed by prominent Bollywood figures and seasoned investor Ashish Kacholia, marking a significant convergence of entertainment and real estate sectors.

Star-Studded Investment

The IPO has garnered attention due to its high-profile investors. Amitabh Bachchan acquired approximately 6.7 lakh shares for ₹10 crore, while the Shah Rukh Khan Family Trust purchased about 6.75 lakh shares for ₹10.1 crore. Hrithik Roshan invested over ₹1 crore for 70,000 shares. Ashish Kacholia, known for his strategic investments, picked up 33.33 lakh shares for ₹50 crore. Other notable investors include Ekta Kapoor, Tusshar Kapoor, Jeetendra, Tiger Shroff, Rakesh Roshan, Sajid Nadiadwala, and Manoj Bajpayee .

IPO Structure and Objectives

The IPO comprises a fresh issue of equity shares, with no offer-for-sale component. Approximately ₹550 crore from the proceeds will be allocated to fund ongoing projects through its subsidiaries—Richfeel Real Estate Pvt Ltd, Dhyan Projects Pvt Ltd, and Tryksha Real Estate Pvt Ltd. These funds will support the development and construction costs of projects like Amalfi, The Arcadian, and Varun. The remaining capital will be used for general corporate purposes .

Company Profile and Project Pipeline

Sri Lotus Developers specializes in redevelopment projects in Mumbai's western suburbs, focusing on the ultra-luxury and luxury segments. As of November 2024, the company has completed three projects, with six ongoing and seven upcoming developments, totaling a developable area of approximately 0.68 million square feet .

Financial Performance

In the fiscal year 2024, Sri Lotus Developers reported a net profit of ₹120 crore, with revenue from operations standing at ₹461.57 crore. For the six months ending September 2024, the company recorded revenue of ₹243.42 crore and a profit after tax of ₹90.63 crore .

Market Outlook

The infusion of capital from the IPO is expected to bolster Sri Lotus Developers' position in Mumbai's competitive real estate market. With a robust pipeline of luxury projects and backing from industry stalwarts, the company is poised for significant growth.