Runwal Enterprises, promoted by Subodh Subhash Runwal, is a real estate developer present across the full spectrum of real estate development, specializing in residential projects that cater to affordable, mid-income, and luxury segments, as well as commercial spaces, retail malls and educational buildings. It non residential business consists of the development and lease / sale of units in certain commercial and shopping complexes.

The company as of March 31, 2026 have completed development of 19 projects with an developable area of 12.09 million square feet [including 12 residential (11.55 msft) and 7 non residential (0.54 msft)]; ongoing projects numbering 28 projects with an developable area of 19.88 million square feet [including 17 residential (18.77 msft) and 11 non residential (1.77msft)] and upcoming projects numbering 33 projects with an developable area of 56.41 million square feet [including 20 residential (44.92 msft) and 13 non residential (11.49 msft)]. Of the total residential portfolio (across completed, ongoing & upcoming) of 74.58 msft of developable area about 30.38 msft (or 40.74%) is affordable, 40.76 msft (or 54.66%) mid-income and 4.60%( or 3.43 msft) is luxury.

The company has developed are in the process of developing residential, retail and commercial properties, which include residential buildings, townships, corporate offices, retail malls, retail spaces, schools and various other real estate projects spread across the eastern, central, peripheral central, south central and western suburbs (Mahalaxmi, Girgaum and Bandra, and outside the MMR, near Alibaug) of Mumbai. As of March 31, 2026, 66.65% of its real estate development projects were located in Mumbai and balance 33.35% is located outside of Mubai. The developable area outside of Mumbai comprised of two project located at Alibaug (Maharashtra) with an aggregate developable area of 29.48 msft.

The company adopts integrated real estate development model that allows it to execute projects from initiation to completion. This model includes in-house resources and capabilities across a wide range of functions—business development, land acquisition, regulatory compliance, design and architecture, execution and construction, sales and marketing, payment, handover and post sales services.

The company pursue realty project development through both green-field projects (that requiring land acquisition) as well as flexible models and asset light models (such as via joint development agreements). In terms of developable area the green field projects were 94.56% (or 8.36 million square feet) as end of March 31, 2026.

The company have also established its capability of developing large townships which include schools, malls, retail shops and shopping arcades. Its ongoing projects, Runwal Gardens and Runwal My City, spans 250 acres and is planned as an integrated township. Runwal Bliss (Phase I completed & Phase II ongoing) and Runwal Avenue (ongoing), projects are collectively located on a 36-acre land parcel in Kanjurmarg East, Mumbai. These projects collectively have high-rise residential towers, high street retail outlets and commercial offices, all developed or proposed to be developed by us within the same land parcel.

The “Runwal group” was involved in the development of Runwal Nagar followed by the housing society, Runwal Plaza in Thane. The company/Group emerged as a separate entity under the leadership of Subodh Subhash Runwal when it was incorporated in 2016 as Propel Developers Private Limited, which was later renamed as “Runwal Apartments Private Limited” in 2021 and subsequently to “Runwal Enterprises Private Limited” in 2024. On October 4, 2024, our company was converted into a public limited company.

The company as of March 31, 2026 had an aggregate of 7,072 unsold units consisting of a total unsold developable area of 7.55 million square feet across its completed projects and ongoing projects.

The issue, Objects of the issue

The offer comprises fresh issue of equity shares of Rs 2 each aggregating to Rs 500 crore.

Of the net proceeds from fresh issue, the company intends to use Rs 100 crore towards prepayment or re-payment, in full or in part, of certain outstanding borrowings availed by the company; Rs 225 crore towards investment in wholly owned material subsidiaries namely Runwal Residency Private Limited and Evie Real Estate Private Limited, for repayment/ pre-payment, in full or in part, of all or a portion of certain of their outstanding borrowings and balance towards funding acquisitions of future real estate projects and general corporate purposes.

Total borrowing on consolidated basis stood at Rs 2909.13 crore as of March 31, 2026.

Strengths

A prominent residential real estate developer in Mumbai operating in affordable and mid-income and luxury residential segment as well as commercial real estate. It is ranked third in terms of new launches with a market share of 2.33% and sales with a market share of 2.46% in Mumbai between January 2023 and March 31, 2026.

Leveraging its strong brand (connection with legacy Runwal Group) the company has ability to sell at premium pricing and throughout the construction phase.

Robust pipeline of ongoing projects and upcoming projects providing strong visibility of cash flows.

Weaknesses

Unsold units in completed projects as end of Mar 31, 2026 stood at 219 units (or 0.20 msft or 1.88% of total units).

Had negative cash flows in operating activities in last 3 financial years.

Statutory Auditors and the auditors for its subsidiaries and Joint Venture have included certain remarks in their audit reports and examination reports for FY26, FY25 and FY24.

The development plans for all of its 33 upcoming projects are still pending finalization and approval as end of Sep 21, 2026.

Any delay in completion of the projects or in achieving milestones as mentioned in the agreement may subject it to RERA mandated penalties, interest payments and cancellation liabilities.

Depend on a limited number of third party contractors to construct its redevelopment projects and thus any delay/cost overrun may result in reduced profits or penalties etc.

Exposed to delays and uncertainties in project completion due to administrative or regulatory delays and legal disputes.

Inability to acquire TDRs, that are required to develop area beyond the permissible FSI for an redevelopment projects at fair/expected price or may affect its ability to increase the size and scope of redevelopment project leading to lower revenue.

Valuation

Consolidated re-stated revenue for the fiscal ending March 2026 stood higher by 79% to Rs 1798.95 crore. With OPM expanding by 300 bps to 16.6%, the growth of OP was 117% to Rs 297.96 crore. Finally, net profit was higher by 234% to Rs 185.76 crore.

On expanded equity, the EPS for FY2026 was Rs 12.6. On the upper price band, the PE works out to 24.2 times of its FY26 EPS. P/BV stood at 3.4 times and EV/Sales stood at 4 times. ROE stands at 10.1%.

In comparison, Mumbai focused full spectrum realty players such as Kalpataru Projects quotes at a PE of 60.2 times, Keystone Realtors 58.3 times, Sunteck Realty 20.8 times, Oberoi Realty 26.4 times and Godrej Properties 27.5 times. EV/sales of Kalpataru Projects stood at 4.3 times, Keystone Realtors 2.3 times, Sunteck Realty 4.5 times, Oberoi Realty 11.6 times and Godrej Properties 13.1 times.

Similarly ROE of Kalpataru Projects stood at 2.3%, Keystone Realtors at 2.8%, Sunteck Realty at 5.7%, Oberoi Realty at 14.1% and Godrej Properties at 9.7%. FY26 OPM of Kalpataru Projects stood at 3.2%, Keystone Realtors 4.6%, Sunteck Realty 27.1%, Oberoi Realty 55.5% and Godrej Properties -9.3%.