Max Estates has successfully raised ₹800 crore through a Qualified Institutional Placement (QIP), which garnered significant interest from prominent domestic financial institutions and foreign institutional investors. This strong response reflects investor confidence in the company’s solid business fundamentals, robust project portfolio, and promising growth prospects.
Additionally, the board of Max Estates approved a fund raise of up to Rs 150 Crore, subject to approval of the shareholders, by way of preferential issue of convertible warrants to Max Ventures Investment Holdings (one of our promoters) and Sunil Vachani, chairman of Dixon Technologies.
The QIP was priced at Rs 597.50 per equity share representing a 4.97% discount on the floor price of Rs 628.74 per equity share. The proceeds from this capital raise will be strategically utilized for the acquisition of land, interests in land, and land development rights, furthering Max Estates’ growth and expansion plans.
The capital raise comes close after recently, New York Life Insurance Company (NYL) invested in Max Estates and bought 49% of Max Towers and Max House, two key commercial real estate assets of the company.
The capital raised through QIP, the preferential allotment and the investment from NYL, will cumulatively provide Rs 1300 Crore as fresh equity funding to Max Estates to scale up its business and accelerate its growth plans
Speaking on the occasion, Nitin Kansal, chief financial officer, Max Estates, said, “We are grateful for the strong response to our QIP issue from leading investor groups who have placed their trust in us. The funding we received is a testament to our robust business growth and promising pipeline of residential and commercial offerings in Delhi NCR. We are poised to strategically deploy this capital to drive the acceleration of our growth plans and enhance our continued success.”
