The initial public offering (IPO) of Shri Lotus Developers and Realty Ltd will open for subscription on July 30 and close on August 1. Ahead of its launch, the company’s top brass – Chairman and Managing Director Anand Kamalnayan Pandit and Chief Executive Officer Sanjay Jain joined Zee Business Managing Editor and market guru Anil Singhvi for an exclusive conversation, shedding light on the company’s vision, business model, and financial fundamentals.
IPO Snapshot
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Price Band: Rs 140 – Rs 150 per equity share
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Lot Size: 100 shares (minimum investment Rs 15,000)
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Issue Size: Rs 792 crore (100 per cent fresh issue)
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IPO Dates: Opens July 30, closes August 1
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Estimated Market Capitalisation Post-Listing: Rs 7,330 crore
The issue is entirely a fresh equity raise, with no offer-for-sale component. The company plans to utilise Rs 550 crore for ongoing projects, with the remaining capital allocated to working capital and general corporate purposes. “Out of Rs 792 crore, Rs 550 crore will be directed towards active developments in Versova, Juhu, and Carter Road,” said Sanjay Jain. “We are a net debt-free company and intend to maintain that status.”
How does the company’s business work?
CMD Anand Kamalnayan Pandit emphasised the firm’s differentiated positioning in the Mumbai real estate market. Unlike traditional developers, Shri Lotus focuses exclusively on luxury and ultra-luxury segments through redevelopment and joint development, without purchasing land.“We are not a project company; we are a product company,” Pandit told Singhvi. “We design fully loaded, high-end apartments and commercial spaces. Our asset-light model enables faster execution and higher margins.”
The company currently operates in premium micro-markets such as Juhu, Bandra, Versova, Prabhadevi, and Napean Sea Road. All marketing is driven by referrals and word-of-mouth, with no expenditure on advertising or promotions. “We do not advertise in newspapers, magazines, or social media,” said Jain. “Almost 50 per cent of our sales are driven by customer referrals.”
Financials: High Margins, Zero Debt
The company posted impressive financial metrics, claiming:
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EBITDA Margins: 52–53 per cent
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Average Selling Price: Rs 45,000 to Rs 65,000 per sq. ft
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Cash Reserves: Rs 370–380 crore
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Fixed Deposits: Rs 300 crore
“With no interest burden, no marketing cost, and high-speed project turnover, our operating margins are among the highest in the industry,” said Pandit. “We sell high-end inventory at a premium of over 20 per cent compared to the market average.”
Star-Studded Investor Base
The company boasts an enviable list of celebrity clients and pre-IPO investors, including:
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Amitabh Bachchan
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Shah Rukh Khan
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Hrithik Roshan
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Ajay Devgn
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Ekta Kapoor
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Rakesh Roshan
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Ashish Kacholia
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Deven Choksey
The company is expanding its footprint within Mumbai’s affluent neighbourhoods and aims to maintain its premium focus in society redevelopment. “Most redevelopment projects target middle-income buyers. We’re unique in bringing ultra-luxury offerings to this space,” said Jain.
The company also claims to have no pending litigation or RERA complaints, a rarity in Mumbai’s real estate sector. “We prioritise customer satisfaction, product quality, and after-sales service,” Pandit noted. “That’s why we’ve avoided the typical legal pitfalls in this industry.”
Anil Singhvi’s Assessment
Anil Singhvi, who closely tracks primary markets and corporate fundamentals, praised the company’s high-margin business model, robust financials, and high-profile investor confidence. He noted the combination of operational efficiency and strategic positioning as a strong draw for both institutional and retail investors.
