KR
ClosedMainboardReal Estate · Residential Real Estate Development
Keystone Realtors Limited
RUSTOMJEE·₹514 – ₹541·Opens 2022-11-14
★★★☆☆3/5
🔗 Official WebsitePrice Band: ₹514 – ₹541
Min. Investment: 14607
Issue Size: 6274.63
About the Company
What does this company do?
Keystone Realtors Limited (brand name: Rustomjee) is a Mumbai-based real estate developer primarily focused on residential projects. The company develops mid-income, affordable, and premium housing across Mumbai Metropolitan Region (MMR). It was incorporated in 1995 and operates through subsidiaries, joint ventures, an…
IPO Details
Issue parameters, key dates and structure.
Total Issue Size
6274.63
10351201
Fresh Issue
524.463
Proceeds go to company
OFS
750
Proceeds to selling shareholders
Reservation Structure
QIB (Qualified Institutional Buyers)
50%
Not more than 50% of the Offer; Anchor Investor Portion: 3,521,255 Equity Shares (60% of QIB Portion)
NII / HNI (Non-Institutional Investors)
15%
Not less than 15% of the Offer
RII (Retail Individual Investors)
35%
Not less than 35% of the Offer
Products & Brands
Key offerings and brand portfolio of the company.
Residential Real Estate Projects: Mid-income, affordable, and premium residential housing developments across Mumbai Metropolitan Region under the Rustomjee brand
Financial Performance
P&L, Balance Sheet and Cash Flow — all figures in ₹ Crores.
| Particulars (₹ Cr) | Q1 FY2023 (3M Jun 2022) |
|---|
All figures in ₹ Crores (INR). Data sourced from DRHP/RHP.
Key Financial Ratios
Valuation and profitability metrics at the IPO price.
EPS — Basic (₹)
13.96
FY2022
EPS — Diluted (₹)
13.96
FY2022
P/E Ratio
38.75
At upper band ₹541 / EPS FY2022 ₹13.96
RoNW (%)
—
FY2022
NAV per Share (₹)
—
Pre-issue
Debt/Equity
—
FY2022
EBITDA Margin (%)
16.60%
FY2022 (EBITDA/Revenue from operations)
PAT Margin (%)
10.70%
FY2022
Revenue CAGR
2.35%
FY2020 to FY2022 (2-yr CAGR)
Peer Comparison
Listed peers in the same industry — compare valuation and scale.
| Company | Exchange | Market Cap | Revenue (₹ Cr) | PAT (₹ Cr) | P/E | ROE |
|---|---|---|---|---|---|---|
| — | — | — | — | — | — | — |
* Peer data extracted from DRHP. All figures in ₹ Crores unless stated. P/E based on latest available earnings.
Objectives of the Issue
How the company intends to use the IPO proceeds.
⚠
Repayment/prepayment of certain borrowings availed by the Company and/or certain Subsidiaries
1
Funding acquisition of future real estate projects and general corporate purposes
SWOT Analysis
Internal strengths & weaknesses; external opportunities & threats.
💪Strengths
Strong brand 'Rustomjee' with 27+ years in Mumbai real estate
Diversified portfolio across income segments in MMR
Experienced promoter and management team
Improving profitability with PAT of ₹1,358 million in FY2022
⚠️Weaknesses
High geographic concentration in MMR only
Significant debt levels impacting financial flexibility
Lumpy revenue recognition pattern due to real estate accounting
Negative CFO in FY2022 (₹-1,095 million)
🚀Opportunities
Strong housing demand recovery in MMR post-COVID
Government policy support for affordable housing
Consolidation in real estate sector favoring organized developers
Increasing urbanization and nuclear family trends driving housing demand
🔥Threats
Rising interest rates impacting home buyer affordability
Regulatory changes under RERA adding compliance burden
Input cost inflation affecting construction margins
Competition from other organized real estate developers in MMR
Competitive Strengths
Key advantages highlighted in the DRHP.
✓
Established brand 'Rustomjee' with strong presence in the Mumbai Metropolitan Region (MMR) residential real estate market
✓
Diversified project portfolio spanning mid-income, affordable, and premium residential segments
✓
Experienced promoter team with decades of expertise in Mumbai real estate development
✓
Strong track record of project execution and delivery across multiple residential townships and standalone projects
✓
Asset-light growth model through joint ventures and jointly controlled operations reducing capital deployment risk
✓
Improving financial performance with significant revenue and profitability growth in Fiscal 2022 vs Fiscal 2021
Promoters & Shareholding
Pre & post-IPO shareholding pattern. Click a promoter card to learn more.
Promoters
Shareholding Pattern
PrePost
Key Risks
Material risk factors to consider before applying.
⚠
High geographic concentration with all projects in Mumbai Metropolitan Region
⚠
Significant debt levels impacting financial flexibility
⚠
Real estate sector is cyclical and sensitive to macroeconomic conditions, interest rates, and regulatory changes
⚠
Dependence on project approvals and regulatory clearances which can cause delays
⚠
Revenue recognition under IndAS follows percentage completion method, leading to lumpy recognition patterns
◆ Neutral
Should You Apply?
Keystone Realtors Limited (Rustomjee) is a leading Mumbai-based residential real estate developer with a 27-year track record in the MMR market across mid-income, affordable, and premium segments. The company reported revenue of ₹12,694 million and PAT of ₹1,358 million in FY2022, recovering strongly from FY2020 levels, though FY2022 operating cash flows were negative. At the upper price band of ₹541, the stock is priced at ~38.75x FY2022 earnings, which appears fully valued given the geographic concentration risk and high debt levels. Investors may consider subscribing with a medium-to-long term perspective given the strong brand and MMR real estate demand tailwinds, but should be cautious of near-term valuation and cash flow risks.
⚠️ This is not investment advice. CheckIPO provides information for educational purposes only. Always consult a SEBI-registered financial advisor before investing.
IPO Timeline
Key milestones from opening to listing.
📅
IPO Opens
2022-11-14
🔒
IPO Closes
2022-11-16
🏛️
Listing
2022-11-24
Lead Managers & Registrar
Institutions managing the issue and handling allotment.
Book Running Lead Managers (2)
Axis Capital
UBS (fmr. Credit Suisse)
Registrar to the Issue
📋
Link Intime India Private Limited
Registrar to the Issue
Company Details
Registered information and contact details.
Company Name
Keystone Realtors Limited
CIN
U45200MH1995PLC094208
Registered Office
702, Natraj, MV Road Junction, Western Express Highway, Andheri (East), Mumbai, Maharashtra, India 400069
Contact Person
Bimal K Nanda
Phone
+91 (22) 6676 6888
Email
cs@rustomjee.comWebsite
www.rustomjee.com