Rakesh Jhunjhunwala's latest stock pick had a great run this year. Jhunjhunwala-backed Indiabulls Real Estate has delivered more than 100% returns to shareholders in the calendar year 2021. This realty stock has surged from ₹81 per share to ₹160 per share on a year-to-date (YTD) basis, registering a growth of 100% this year. In contrast, the benchmark index BSE Sensex climbed 20% during the said period.
The ace investor added Indiabulls Real Estate stock in his portfolio during the September quarter of the current fiscal. As per the latest BSE shareholding pattern, Jhunjhunwala holds 50 lakh or 1.1% shares in Indiabulls Real Estate, one of the largest real estate companies in India.
How Indiabulls Real Estate shares have fared so far
On Friday, shares of Indiabulls Real Estate were trading 3.6% lower at ₹162.90 apiece on the BSE. The stock opened marginally higher at ₹169.10, while it touched an intraday high and low of ₹169.35 and ₹155.65, respectively. There was a spurt in volume trade as 6.4 lakh shares changed hands over the counter in early deals, as compared to the two-week average volume of 9.88 lakh shares. The market capitalisation of the company stood at ₹7,416 crore.
During the day’s trade so far, the stock declined as much as 7.9% amid a report that Sameer Gehlaut would resign from the board of Indiabulls Housing Finance by March 2022. Gehlaut, the founder of Indiabulls Housing Finance, on Thursday, sold nearly 12% stake in the housing finance company.
Indiabulls Real Estate shares had a rough ride in recent times, with share price trading down 20% from its 52-week high of ₹195.90. It has fallen as much as 11% in the past one week, while managing to gain 49% over the six-month period. Despite sell-off in the last few trade sessions, Indiabulls Real Estate share price has surged 115% in the last one year and 128% over the five years period. It touched a 52-week high of ₹195.90 on November 9, 2021, while it hit a 52-week low of ₹62.30 on December 21, 2020.
Realtor raised ₹75 crore via NCDs
Indiabulls Real Estate has recently raised ₹75 crore by issuing non-convertible debentures (NCDs) on a private placement basis. The realtor in an exchange filing on December 15 said it has allotted secured, redeemable NCDs of face value Rs 10 lakh each, aggregating ₹75 crore.
The secured NCDs, which will be listed on the BSE, have a tenor of one year and one day. The date of maturity is 15th December, 2022, while the security offers a coupon rate of 10.5% per annum.
Separately, the company issued and allotted 14.52 fully paid-up equity shares of face value ₹2 each, to eligible employees upon exercise of options vested in their favour under various ESOP Schemes of the company. Following the ESOP allotment, the paid-up equity share capital of the company increased to Rs 91.22 crore.
Sales bookings jumped over two-fold to ₹874 crore in H2 FY22
During the first six months of the current fiscal, Indiabulls Real Estate’s sales bookings surged more than two-fold to ₹874 crore, boosted by the revival of housing demand. The net sales stood at ₹368 crore in the corresponding period last year. The gross collection increased to Rs 654 crore in H1 FY22, from Rs 284 crore in the prior-year period.
For the September quarter, the company reported a consolidated net profit of ₹5.64 crore as against a net loss of ₹76 crore in the year-ago period. Total income rose to ₹381.24 crore from ₹50.70 crore in the same period last year.