Sobha Rights Issues will open for subscription from 28 June 2024. the company aims for an issue size of ₹2,000 Crores through this rights Issue.
About the company
Sobha is a leading real estate company in India that offers residential homes and manufactures construction-related products. The company’s focus on design, construction quality, building materials, and technology has allowed us to diversify and expand its offerings. The company has expanded to other cities in India including Gurugram, Chennai, Pune, and Kochi.
Recently, the company launched projects in Hyderabad and Trivandrum. Apart from developing real estate projects under the ‘Sobha‘ brand. The company also provides engineering, procurement, and construction services for institutional customers.
As of 31 March 2024, it has completed construction of 136.25 million square feet across 27 cities in India and currently has 38.36 million square feet of developable area for projects. In the last fiscal year, the company completed construction of over 7 million square feet across the real estate and contractual projects and the company has 69 ongoing projects and 21 forthcoming projects as of 31 March 2024, comprising residential and commercial developments.
Objectives of the Issue
- Repayment or prepayment, in full or in part, of certain borrowings availed by the Company;
- Funding certain project-related expenses for Ongoing Projects and Forthcoming Projects;
- Purchase of equipment and machinery; and
- Funding acquisition of unidentified land parcels and general corporate purposes.
Sobha Rights Issues Timetable
| Last Date to buy shares | 18 June 2024 |
| Record Date | 19 June 2024 |
| Credit of Rights Entitlements | 27 June 2024 |
| Bid/Offer Opens On | 28 June 2024 |
| Renunciation of Rights Entitlements | 01 July 2024 |
| Bid/Offer Closes On | 04 July 2024 |
| Deemed Date of Allotment | 12 July 2024 |
| Credit Date | 15 July 2024 |
| Listing Date | 16 July 2024 |
Sobha Rights Issues Details
| Issue Open | June 28, 2024 – July 4, 2024 |
| Security Name | Sobha Limited |
| Issue Size (Shares) | 12,107,981 |
| Issue Size (Amount) | ₹2,000.00 Crores |
| Issue Price | ₹1651 per share |
| Face Value | ₹10 per share |
| Listing At | BSE, NSE |
| Terms of Payment | Rs. 825 on application. Rs. 825 in not more than two subsequent Calls, with terms and conditions such as the number of Calls and the timing and quantum of each Call as may be decided by our Board/ Rights Issue Committee from time to time, to be completed on or prior to December 31, 2025. |
| Entitlement | 6 Rights Equity Share(s) for every 47 fully paid-up Equity Shares held on Record Date |
Company Financials
| FY 2022 | FY 2023 | FY 2024 | |
| Revenue | 2,561 | 3,310 | 3,097 |
| Expenses | 2,028 | 2,941 | 2,820 |
| Operating Margin (%) | 21.0 | 11.0 | 9.0 |
| Net Income | 173.00 | 104.00 | 49.00 |
| ROCE (%) | 10.00 | 8.00 | – |
Rights Issue Documents
Lead Manager(s)
JM FINANCIAL LIMITED
7th Floor, Cnergy Appasaheb Marathe Marg Prabhadevi,
Mumbai 400 025 Maharashtra, India
Telephone: +91 22 6630 3030
Email: sobha.rights@jmfl.com
Website: www.jmfl.com
Rights Issue Registrar
LINK INTIME INDIA PRIVATE LIMITED
C-101, 1st Floor, 247 Park L.B.S. Marg,
Vikhroli West, Mumbai – 400 083, Maharashtra
Telephone: +91 810 811 4949
Email: sobha.rights2024@linkintime.co.in
Website: www.linkintime.co.in
Company Contact Information
SOBHA LIMITED
SOBHA, Sarjapur-Marathahalli, Outer Ring Road (ORR),
Devarabisanahalli, Bellandur Post, Bangalore 560 103
Phone: +91 80 4932 0000
Email: rights.issue@sobha.com
Website: www.sobha.com
Final Thoughts
Applying for the rights issue is purely a personal choice. Make sure you conduct a detailed study of the company and its rights issues before you make an investment decision.
Happy investing
