Homesfy Realty SME
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 21 Dec 2022 – 23 Dec 2022
- Listing date
- 02 Jan 2023
- Face value
- ₹10 per share
- Issue price
- ₹197 per share
- Lot size
- 600 shares
- Total issue size
- ₹15.86 Cr
- Market cap at offer price
- ₹60.19 Cr
- Promoter holding
- 71.69% → 52.80% pre-issue → post-issue
- ISIN
- INE0N7F01017
- Registrar
- Bigshare Services Pvt.Ltd.
- Lead managers
- Sarthi Capital Advisors Pvt.Ltd.
- Registered office
- 1602, 16th Floor, Dev Corpora Near Cadbury Junction, Maharashtra
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Market maker | 40,800 | — | — |
Application size
Minimum 600 shares per lot, in multiples, at ₹197
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 600 | ₹1,18,200 |
| S-HNI (min) | 2 | 1,200 | ₹2,36,400 |
| S-HNI (max) | 8 | 4,800 | ₹9,45,600 |
| B-HNI (min) | 9 | 5,400 | ₹10,63,800 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Valuation and performance
Valuation at offer price
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 636.82 | — |
| P/E (×) | 0.31 | — |
| Market cap | — | ₹60.19 Cr |
Key performance indicators
- Return on net worth
- 33.37%
- ROCE
- 46.18%
- PAT margin
- 10.47%
- EBITDA margin
- 14.97%
- NAV per share
- ₹1,908.17
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Homesfy Realty SME
Homesfy Realty Limited was incorporated on May 6, 2011, and is headquartered in Thane, Maharashtra. The company provides real estate broking services to real estate developers, retail buyers/sellers, and investors for residential and commercial properties. It assists developers in selling properties and customers in purchasing them. The company operates through two revenue streams: direct selling via its in-house sales team (80% of revenue) and referral services through its mymagnet platform (20% of revenue). With over 11 years of operating experience, Homesfy has developed industry expertise in market strategies, developer needs, and customer expectations. The company is driven by four pillars: people, process, technology, and platform. As of June 30, 2022, the company had 380 permanent employees and generated ₹1,239.28 lakhs in revenue in Q1 FY2022-23.
Company Analysis
from RHPHomesfy Realty Limited is a real estate broking services company providing residential and commercial property brokerage through direct selling and a digital platform (mymagnet), generating approximately 80% revenue from direct selling and 20% from platform-based referral services.
Homesfy Realty Limited was incorporated on May 6, 2011, and is headquartered in Thane, Maharashtra. The company provides real estate broking services to real estate developers, retail buyers/sellers, and investors for residential and commercial properties. It assists developers in selling properties and customers in purchasing them. The company operates through two revenue streams: direct selling via its in-house sales team (80% of revenue) and referral services through its mymagnet platform (20% of revenue). With over 11 years of operating experience, Homesfy has developed industry expertise in market strategies, developer needs, and customer expectations. The company is driven by four pillars: people, process, technology, and platform. As of June 30, 2022, the company had 380 permanent employees and generated ₹1,239.28 lakhs in revenue in Q1 FY2022-23.
Objects of the Issue
- Working Capital Requirements ₹1,161.24 lakhs p.18
- General corporate purpose ₹290.00 lakhs p.18
- Issue Expenses ₹135.00 lakhs p.18
Issue Structure
- Total Issue
- ₹1,586.24 lakhs (8,05,200 equity shares at ₹197.00 per share)
- Fresh Issue
- 8,05,200 Equity Shares of Face Value of ₹10.00 each at ₹197.00 per share aggregating ₹1,586.24 lakhs
- Price Band
- ₹197.00 per equity share (fixed price)
- Lot Size
- Minimum 1 equity share for retail investors up to ₹2,00,000; above ₹2,00,000 for non-retail investors
- Face Value
- ₹10.00 per equity share
Business Model
Real estate brokerage services: The company earns revenue by charging brokerage fees on property transactions. The business model involves contacting prospective customers, understanding their requirements, facilitating property visits, and earning brokerage upon developer invoice after property booking completion. Revenue is split between direct selling from the in-house sales team (80%) and referral services through the mymagnet platform for registered brokers (20%).
Business Segments
SWOT Analysis
- • Established track record in real estate brokerage with 11+ years of experience(p.17)
- • Scalable business model with proven profitable growth trajectory(p.54)
- • Dual revenue streams from direct selling and platform-based referrals(p.17)
- • Strong profitability metrics with consistent PAT growth(p.31)
- • Experienced management team and promoter with deep industry knowledge(p.54)
- • Experienced and stable management team with proven track record(p.72)
- • Long-standing relationships with marquee developers(p.73)
- • Standardized transaction process with proprietary CRM system(p.73)
- • Commitment to service quality and agent development(p.73)
- • Well-qualified and highly motivated workforce(p.73)
- • Established network of 7 offices across 4 cities(p.73)
- • Technology expertise for continuous product improvement(p.73)
- • Strong financial performance and profitability(p.62)
- • Strong revenue growth trajectory(p.136)
- • Significantly improved profitability(p.136)
- • Strong operating cash generation(p.137)
- • Low financial leverage(p.138)
- • Multi-state RERA registrations demonstrating geographic reach(p.144)
- • Positive net-worth and consistent operating profit(p.147)
- • Significant dependence on a small set of real estate developers for revenue(p.21)
- • No formal agreements with real estate developers creating contractual vulnerability(p.21)
- • Limited operating history and inexperience in execution vs. mature competitors(p.21)
- • Significant trade receivables outstanding creating cash flow challenges(p.25)
- • Prior regulatory non-compliance resulting in company strike-off and director disqualification(p.21)
- • Heavy reliance on two geographic markets creating regional concentration risk(p.22)
- • No ownership of office premises creating operational vulnerability(p.27)
- • Limited business diversification - dependent on commission-based revenue(p.132)
- • High employee benefits expenses as percentage of revenue(p.135)
- • Increasing trade receivables and collection period(p.134)
- • No formal dividend policy established(p.100)
- • Concentration of shareholding with promoter(p.95)
- • Outstanding tax liabilities and demands(p.141)
- • GST refund claims and service tax disputes pending(p.141)
- • Outstanding dues to creditors(p.142)
- • Promoter tax demands pending(p.141)
- • Individual director tax matters(p.142)
- • Significant projected growth in Indian real estate sector through 2030(p.17)
- • Expanding demand for commercial real estate and infrastructure(p.17)
- • Expected rise in NRI investment in Indian real estate markets(p.17)
- • Geographic expansion potential beyond current Mumbai-Bengaluru concentration(p.22)
- • Opportunity to expand mymagnet platform and agent network to increase revenue share from commissions(p.17)
- • Large market opportunity in Indian real estate sector(p.66)
- • Significant housing shortage and demand for residential units(p.67)
- • Expected growth in new housing supply and transactions(p.67)
- • Growing demand for commercial real estate and office space(p.67)
- • Increasing share of organized real estate market(p.67)
- • Growth in data centre real estate demand(p.66)
- • Expansion of retail real estate market in tier 2 and 3 cities(p.67)
- • Planned acquisition of EQServ to support business growth(p.74)
- • Post-COVID expansion in real estate sector(p.136)
- • Listing on NSE Emerge to enhance visibility and liquidity(p.152)
- • Multi-sectoral expansion across Indian states(p.144)
- • Market making support for three years post-listing(p.160)
- • Opportunity to migrate to main board(p.159)
- • Intense competition from established brokers and tech-enabled platforms(p.20)
- • Cyclical nature of real estate market subject to economic and demand fluctuations(p.22)
- • Regulatory changes in real estate sector, including RERA compliance requirements(p.25)
- • COVID-19 pandemic and future public health emergencies could disrupt business operations(p.26)
- • Economic slowdown in India could reduce demand for real estate broking services(p.30)
- • Potential adverse tax law changes and regulatory interpretations affecting profitability(p.30)
- • Inflation could increase costs without proportionate revenue increase(p.31)
- • Reputational risk from misconduct of brokers on mymagnet platform(p.21)
- • Global economic slowdown and inflation pressures(p.65)
- • COVID-19 pandemic impact on real estate operations and demand(p.68)
- • Regulatory changes and RERA compliance requirements(p.76)
- • Intense competition from organized and unorganized players(p.67)
- • Dependence on economic growth and real estate market cycles(p.66)
- • Volatility in interest rates affecting property demand(p.131)
- • Technology infrastructure risks and cybersecurity threats(p.130)
- • Real estate market cyclicality and dependency on transaction volumes(p.136)
- • Tax authority scrutiny across multiple assessment years(p.141)
- • Regulatory compliance risk across multiple states(p.145)
- • SME platform liquidity and trading constraints(p.160)
- • Creditor concentration and payment obligations(p.142)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Ashish Premprakash Kukreja | Promoter | 65.07% | 47.92% |
| Talent Coach People Consulting LLP | Promoter Group | 6.62% | 4.88% |
| Ashish Kukreja | Promoter | 65.07% | 47.92% |
| Ashish Kukreja | Promoter | — | — |
Leadership
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.