Lodha aims to turn company debt-free by FY2024
Real Estate

Lodha aims to turn company debt-free by FY2024

Real Estate major Macrotech Developers (Lodha Group) aims to turn into a zero debt company in the coming three years with its concentration on mid-income, affordable housing, and industrial and logistics business.

Managing Director and CEO Abhishek Lodha told the media that the demand for rising housing amid the surge of the second wave of Covid-19 is also expected to accelerate sales of established Grade-A developers with stable financials.

Lodha told the media that the company is working to become a zero-debt company or net cash positive company by the financial year 2024.

Macrotech Developers registered on stock exchanges recently following its Rs 2,500 crore public issue, a major part of which will be used to repay the debt of the company. Lodha Developers had around Rs 6,000 crore of debt maturities at the end of March at its India operations over the following 24 months.

The demand for housing will increase due to people's requirement for more space, easy global monetary policies and more surplus owing to reduced discretionary spending in the backdrop of the second wave of Covid-19.

The property market has started fusing with top developers with financial and execution capability bringing in the supply backed by the homebuyers.

The liquidity crisis prior to the pressure associated with the housing sector by Non-Banking Financial Company (NBFCs) with poor quality projects and developers unsold units had led to an oversupply problem between 2014 and 2020.

The current situation has improved owing to the rationalisation of liquidity aid to financially stable entities.

In the rapid changing business scenario Lodha Group has also observed an increment and good growth of market share in the most prominent market, the Mumbai Metropolitan Region (MMR), and is now extending further in the Pune property market.

Image Source


Also read: Lodha IPO: Macrotech Developers to launch Rs 2,500 cr IPO

Also read: Top 10 richest realtors: Lodha tops list fourth time

Real Estate major Macrotech Developers (Lodha Group) aims to turn into a zero debt company in the coming three years with its concentration on mid-income, affordable housing, and industrial and logistics business. Managing Director and CEO Abhishek Lodha told the media that the demand for rising housing amid the surge of the second wave of Covid-19 is also expected to accelerate sales of established Grade-A developers with stable financials. Lodha told the media that the company is working to become a zero-debt company or net cash positive company by the financial year 2024. Macrotech Developers registered on stock exchanges recently following its Rs 2,500 crore public issue, a major part of which will be used to repay the debt of the company. Lodha Developers had around Rs 6,000 crore of debt maturities at the end of March at its India operations over the following 24 months. The demand for housing will increase due to people's requirement for more space, easy global monetary policies and more surplus owing to reduced discretionary spending in the backdrop of the second wave of Covid-19. The property market has started fusing with top developers with financial and execution capability bringing in the supply backed by the homebuyers. The liquidity crisis prior to the pressure associated with the housing sector by Non-Banking Financial Company (NBFCs) with poor quality projects and developers unsold units had led to an oversupply problem between 2014 and 2020. The current situation has improved owing to the rationalisation of liquidity aid to financially stable entities. In the rapid changing business scenario Lodha Group has also observed an increment and good growth of market share in the most prominent market, the Mumbai Metropolitan Region (MMR), and is now extending further in the Pune property market. Image Source Also read: Lodha IPO: Macrotech Developers to launch Rs 2,500 cr IPO Also read: Top 10 richest realtors: Lodha tops list fourth time

Next Story
Infrastructure Energy

REC Transfers HVDC Project to Power Grid

REC Limited has successfully handed over the Special Purpose Vehicle (SPV) for a High-Voltage Direct Current (HVDC) transmission project to Power Grid Corporation of India Limited (PGCIL). This strategic move aligns with the nation's objectives to strengthen its power transmission network. Key Highlights: Project Overview: The HVDC project, under the inter-state transmission system (ISTS) initiative, is a critical component of India's push toward robust and efficient electricity transmission. It aims to handle bulk power transfer across long distances while ensuring minimal losses. Role of RE..

Next Story
Infrastructure Transport

NF Railway Collaborates with IIT Guwahati

The Northeast Frontier (NF) Railway has signed strategic Memorandums of Understanding (MoUs) with IIT Guwahati to foster technological advancements and improve railway operations in the region. This partnership focuses on innovative solutions to enhance safety, efficiency, and sustainability in rail infrastructure. Key Highlights: Purpose of MoUs: The collaboration aims to leverage IIT Guwahati's expertise in technology and research for implementing cutting-edge solutions across railway operations. Key areas of focus include: Automation and digitization in maintenance. Sustainability initiati..

Next Story
Infrastructure Transport

Danapur Division Modernization Plans Revealed

The Railway Board has unveiled ambitious plans for the expansion and modernization of the Danapur Division, a critical hub under the East Central Railway. The initiative focuses on infrastructure development, enhanced passenger amenities, and operational efficiency. Key Highlights: Scope of Modernization: The Railway Board's blueprint emphasizes: Upgrading existing infrastructure to accommodate more passenger and freight traffic. Improving station facilities, such as platforms, waiting areas, and connectivity. Introducing advanced signal systems for safer and smoother operations. Freig..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000