Casagrand Premier Builder has filed a draft red herring prospectus (DRHP) with markets regulator SEBI to raise ₹1,100 crore.

About ₹150 crore from the proceeds will be used to clear certain outstanding debts availed by the company and ₹650 crore by its wholly owned subsidiaries and step-down subsidiaries, the residential sector developer said in a statement.

The IPO comprises fresh issue of ₹1,000 crore and an offer for sale of ₹100 crore by the promoter selling shareholders.

Casagrand, in consultation with the book-running lead managers, may consider a further issue of equity shares through a preferential offer or any other method aggregating up to ₹200 crore, as pre-IPO placement, which shall not exceed 20% of the size of the fresh issue. If such placement is completed, the fresh issue size will be reduced, it said.

The well-known residential brand in Chennai has a market share of 24% in terms of launches and 20% in terms of demand from January 2017 to March 2024. In FY24, it achieved pre-sales volumes of 7.24 million sq. ft of saleable area.

Casagrand has operations in Chennai, Bengaluru, Hyderabad and Coimbatore. As of May 2024, the company had completed 101 projects with a saleable area of 21.45 million sq. ft, has 42 ongoing projects spanning 33.60 million sq. ft, and 17 upcoming projects with an estimated saleable area of 13.15 million sq. ft.

Casagrand has completed two warehousing projects at Chennai and is into commercial office space segment.

In FY22, it reported a revenue of ₹1,877 crore and a net profit of ₹146 crore against ₹2,614 crore and ₹257 crore respectively in FY24.