Real estate developer Eldeco Infrastructure and Properties Ltd has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to raise ₹1,000 crore through an initial public offering. The issue will comprise a fresh equity issue of ₹800 crore and an offer for sale of up to ₹200 crore by the company’s promoters. According to the draft papers, promoters Pankaj Bajaj and Bandana Kohli will offload shares worth ₹102 crore and ₹98 crore, respectively.
The company has also mentioned that it may consider a pre-IPO placement of up to ₹160 crore. If such a placement is carried out, the size of the fresh issue will be reduced accordingly.
Proceeds from the fresh issue are proposed to be used primarily for debt reduction and corporate purposes. Eldeco has allocated ₹600 crore for repayment or prepayment of certain outstanding borrowings availed by its subsidiary Eldeco Infracon Realtors Ltd. The remaining funds will be utilized for general corporate requirements, providing financial flexibility and supporting the company’s future expansion.
Headquartered in Haryana, Eldeco Infrastructure is a prominent developer in north India with a strong presence across Delhi-NCR as well as in tier-II and tier-III cities. The group has a track record of more than 25 years and has delivered 86 projects as of March 31, 2025. These projects include residential townships, low-rise apartments, and group housing developments. As of the same date, the company was executing 19 ongoing projects with a cumulative saleable area of 7.24 million square feet and had planned 18 forthcoming projects with a total saleable area of 7.37 million square feet across 14 cities.
The company’s financial performance has shown significant growth in the last fiscal year. Its revenue from operations nearly tripled in FY25, reaching ₹695 crore compared to ₹241 crore in FY24. This sharp increase was attributed to progress across its ongoing projects and a rise in housing demand in its key operating regions. The filing for an IPO comes at a time when several developers with exposure to north Indian real estate markets are seeking capital market funding to reduce leverage and expand operations.
IIFL Capital Services and JM Financial are acting as the book-running lead managers to the issue. Once regulatory clearances are received, Eldeco Infrastructure’s equity shares will be listed on the BSE and NSE. The company’s move to enter the public market aligns with the broader trend in the real estate sector, where developers are turning to IPOs to diversify sources of funding and reduce reliance on borrowings.
Industry analysts note that the IPO will strengthen Eldeco’s balance sheet and enable it to pursue larger development opportunities in fast-growing urban centers. With its established presence in both metropolitan regions like NCR and emerging markets in tier-II and tier-III cities, the developer is positioning itself to capture rising demand for housing in northern India. The company expects that the funds raised through the IPO will not only support debt reduction but also provide it with the financial strength required for expansion over the coming years.
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