Business Overview
Veegaland Developers Limited plans, develops and sells multi-storied residential apartment projects in Kerala under the brand ‘Veegaland Homes’, across mid-premium, premium, ultra-premium, luxe-series and ultra-luxury segments, in each case under the Real Estate (Regulation and Development) Act. It was incorporated on August 10, 2007 as Vintes Solutions Private Limited, was renamed Veegaland Developers Private Limited on August 11, 2011 to use the Veegaland brand, and converted to a public limited company with effect from November 6, 2025. The Company forms part of the V-Guard Group, which traces to 1977 when Promoter Kochouseph Thomas Chittilappilly founded V-Guard Industries; the group also spans Wonderla Holidays and V-Star Creations. Veegaland entered real estate in 2011 with its first building permit, for ‘Green Clouds’ in Kochi.
Per the ICRA Report, as of December 8, 2025 the Company is ranked Kerala’s fastest-selling real estate developer and is one of the recognised residential developers in the state. All of its projects are in Kerala, across the micro-markets of Kochi, Thiruvananthapuram, Kozhikode and Thrissur. As of June 30, 2026 the portfolio comprised 10 Completed Projects of 692 units and 11,05,009 square feet of saleable area, all fully sold; 12 Ongoing Projects of 994 units and 18,57,460 square feet, of which 11,87,089 square feet or 63.91% was booked; and 3 Upcoming Projects of 212 units and 4,62,010 square feet – a total of 25 projects, 1,898 units and 34,24,479 square feet. As at the date of the Red Herring Prospectus it also holds land reserves of 6.51 acres across Kochi and Kozhikode.
Construction is executed entirely through independent third-party civil contractors and subcontractors, with architectural, structural and mechanical, electrical and plumbing design outsourced to external consultants; the Company retains an in-house team of 45 engineers in project-monitoring roles and employed 127 full-time employees as of June 30, 2026. Revenue from operations was ₹250.98 Crore in Fiscal 2026 against ₹192.38 Crore and ₹110.77 Crore, EBITDA ₹42.64 Crore at a 16.78% margin, and profit after tax ₹26.61 Crore against ₹20.43 Crore and ₹7.87 Crore, giving basic and diluted earnings per share of ₹8.77. Sales value rose from ₹186.96 Crore in Fiscal 2024 to ₹393.62 Crore in Fiscal 2026 and gross collections including GST from ₹125.31 Crore to ₹291.83 Crore.
IPO Details
| Particulars | Details |
|---|---|
| IPO Date | Thursday, September 10, 2026 to Tuesday, September 15, 2026 |
| Issue Type | 100% Book Built Issue – entirely a Fresh Issue; there is no Offer for Sale |
| Basis of Allotment | On or about Wednesday, September 16, 2026 |
| Tentative Listing Date | On or about Friday, September 18, 2026, on BSE and NSE |
| Face Value | ₹10 per Equity Share |
| Price Band | ₹130 to ₹140 per Equity Share |
| Lot Size | 107 Equity Shares and in multiples thereof |
| Minimum Retail Investment | ₹14,980 for 1 lot of 107 Equity Shares at the upper band |
| Maximum Retail Investment | ₹1,94,740 for 13 lots of 1,391 Equity Shares at the upper band |
| Minimum HNI Investment | ₹2,09,720 for 14 lots (Small HNI); ₹10,03,660 for 67 lots (Big HNI), at the upper band |
| Issue Size | Up to ₹210.00 Crore, being 1,50,00,000 Equity Shares at the upper band |
| Offer for Sale | Nil |
| Post-Issue Market Capitalisation | ₹682.50 Crore at ₹140; ₹648.75 Crore at ₹130 |
| Promoter Holding (Pre-Issue) | 92.00% |
| Promoter Holding (Post-Issue) | 63.69% |
| Book Running Lead Manager | Cumulative Capital Private Limited |
| Registrar to the Issue | MUFG Intime India Private Limited |
Objects of the Issue
The Issue is entirely a Fresh Issue, so the whole of the Net Proceeds accrues to the Company. There is no selling shareholder and no part of the Issue proceeds is paid to the promoters.
| Issue Objects | Est. Amt (₹ Cr.) |
|---|---|
| Funding a part of the expense to be incurred in the development of the Ongoing Projects | 119.83 |
| Funding unidentified acquisition of land and general corporate purposes | To be finalised |
Key Strengths and Opportunities
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Completed Projects Delivered Ahead of Schedule and Fully Sold
The Company has completed residential projects in accordance with, and in several cases ahead of, the estimated completion dates disclosed under its RERA registrations. Of the five completed projects for which the Red Herring Prospectus tabulates dates, every one received its occupancy certificate early. Across the completed portfolio, 692 residential units including 43 units allocated to landowners under joint development agreements have achieved 100% sales, demonstrating full absorption of delivered inventory across the Company’s project categories and micro-markets. -
Sales Occur During Construction, with a 45.10% Sales CAGR
Sales traction in ongoing projects has been achieved substantially before scheduled completion. As of June 30, 2026, Green Fort had reached 100% of area sold, Green Heights 99.29%, Maybell 98.77% and Green Capitol 84.90%, against 11,87,089 square feet sold out of 18,57,460 square feet of saleable area across the 12 ongoing projects. Sales value increased from ₹186.96 Crore in Fiscal 2024 to ₹393.62 Crore in Fiscal 2026, a compound annual growth rate of 45.10%. -
Land Sourced Through a Mix of Outright Purchase and Capital-Light Joint Development
The Company combines outright land acquisition, evaluated through multi-layered diligence covering legal title verification, zoning and regulatory review, access and infrastructure connectivity and financial feasibility, with selective joint development agreements in which the landowner contributes land against an agreed share of saleable area. Of completed saleable area, 7.70 lakh square feet or 69.68% came through outright purchase and 3.35 lakh square feet or 30.32% through joint development. -
A Staggered Pipeline Across Completed, Ongoing and Upcoming Projects
The portfolio is balanced across the three stages, which the Company states provides continuity of operations and visibility into deliveries, cash flows and revenue recognition. The three upcoming projects aggregate 4,62,010 square feet of estimated saleable area – Fortune in the Luxe series at Kochi with 1,79,288 square feet, Sarovar in the Premium segment at Kozhikode with 1,79,545 square feet, and East Fort in the Premium segment at Kochi with 1,03,177 square feet. Land reserves of 6.51 acres across Kochi and Kozhikode underpin the medium-term pipeline. -
Promoter with 49 Years of Business Experience and an In-House Engineering Bench
Promoter Kochouseph Thomas Chittilappilly has over 49 years of diversified experience, including more than 16 years in real estate and amusement parks and over 43 years in electrical appliances, and is the founder of two listed companies, V-Guard Industries Limited and Wonderla Holidays Limited. Internal capability is anchored by a technical workforce of 45 engineers in project-monitoring roles, supported by dedicated in-house design, approvals and sales and marketing teams and long-standing relationships with external architects, structural consultants and mechanical, electrical and plumbing specialists.
Key Risks
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Operating Cash Flow has Been Negative in Two of the Last Three Fiscals
Net cash used in operating activities was ₹74.26 Crore in Fiscal 2026 and ₹44.00 Crore in Fiscal 2025, against ₹8.83 Crore generated in Fiscal 2024. The Company states this occurred despite recording increases in profit before tax, and attributes it to non-cash adjustments and significant working capital outflows including increases in land inventories for future projects and trade receivables from ongoing construction and stage-wise billing, as well as timing differences between revenue recognition under Ind AS 115 and actual cash collections. -
Promoter Loans Funded the Business, and ₹175.62 Crore was Repaid in Fiscal 2026
Loans accepted from Promoter Kochouseph Thomas Chittilappilly were ₹76.57 Crore in Fiscal 2025, equal to 39.80% of revenue from operations, and ₹1.82 Crore in Fiscal 2024; loans repaid to him were ₹175.62 Crore in Fiscal 2026, or 69.97% of revenue from operations, ₹11.57 Crore in Fiscal 2025 and ₹11.82 Crore in Fiscal 2024. Loans from related parties stood at ₹175.62 Crore at the end of Fiscal 2025, approximately 99.24% of total borrowings of ₹176.97 Crore in that year. -
Cash Flow Depends on Milestone Collections, and Cancellations are Rising
As of June 30, 2026 the Company had sold 637 units aggregating 11,72,182 square feet, 63.62% of total saleable area excluding joint development allocations across ongoing projects, and its cash flows depend on timely payment of construction-linked instalments by those customers. Cancellations rose to 9 in Fiscal 2026 from 6 and 2 in the two prior years, with receivables reversed of ₹6.45 Crore, ₹3.65 Crore and ₹0.46 Crore and amounts refunded of ₹1.90 Crore, ₹1.11 Crore and ₹1.08 Crore.
Financial Snapshot
| Key Performance Indicator | Units | FY2026 | FY2025 | FY2024 |
|---|---|---|---|---|
| Revenue from Operations | ₹ Cr. | 250.98 | 192.38 | 110.77 |
| Revenue Growth (YoY) | % | 30.46% | 73.67% | NA |
| Total Income | ₹ Cr. | 254.16 | 196.22 | 114.61 |
| EBITDA | ₹ Cr. | 42.64 | 33.77 | 16.72 |
| EBITDA Margin | % | 16.78% | 17.21% | 14.59% |
| Profit After Tax | ₹ Cr. | 26.61 | 20.43 | 7.87 |
| PAT Margin | % | 10.47% | 10.41% | 6.87% |
| Basic and Diluted EPS | ₹ | 8.77 | 8.17 | 3.15 |
| Return on Equity / Return on Net Worth | % | 16.02% | 36.96% | 19.12% |
| Return on Capital Employed | % | 11.89% | 13.75% | 9.85% |
| Net Worth | ₹ Cr. | 266.90 | 65.44 | 45.07 |
| NAV per Equity Share | ₹ | 79.08 | NA | NA |
| Total Borrowings | ₹ Cr. | 85.59 | 176.97 | 120.23 |
| Debt to Equity | x | 0.32 | 2.70 | 2.67 |
| Inventories | ₹ Cr. | 287.97 | 219.14 | 151.56 |
| Trade Receivables | ₹ Cr. | 45.15 | 27.40 | 10.52 |
| Cash Flow from Operating Activities | ₹ Cr. | (74.26) | (44.00) | 8.83 |
| Sales Value (excluding GST) | ₹ Cr. | 393.62 | 338.38 | 186.96 |
| Gross Collections (including GST) | ₹ Cr. | 291.83 | 207.54 | 125.31 |
| Sales Area | Sq. ft. | 4,90,697 | 4,67,166 | 2,69,573 |
| Sales (Number of Units) | Number | 261 | 270 | 167 |
| Average Sale Price per Square Foot | ₹ | 8,021.63 | 7,243.21 | 6,935.42 |
| Number of Completed Projects | Number | 10 | 10 | 9 |
| Number of Ongoing Projects | Number | 11 | 7 | 7 |
Peer Comparison
| Company | Revenue (₹ Cr.) | P/E (x) | RoNW (%) |
|---|---|---|---|
| Veegaland Developers Limited | 250.98 | 15.96 | 16.02 |
| Shriram Properties Limited | 1,267.41 | 12.91 | 7.16 |
| Puravankara Limited | 3,739.83 | 84.24 | 3.23 |
Valuation
| Particulars | Details |
|---|---|
| Price Band | ₹130 to ₹140 per Equity Share |
| Post-Issue Market Capitalisation | ₹682.50 Crore at ₹140; ₹648.75 Crore at ₹130 |
| Market Cap / FY2026 Revenue from Operations | 2.72 times |
| P/E on FY2026 Basic and Diluted EPS of ₹8.77 | 15.96 times at ₹140; 14.82 times at ₹130 |
| Industry Peer Group P/E | 48.58 times average; 12.91 times low; 84.24 times high |
| EV / FY2026 EBITDA | 12.31 times at ₹140 |
| NAV per Equity Share (Pre-Issue, FY2026) | ₹79.08 |
| P/B on Pre-Issue NAV | 1.77 times at ₹140 |
| Post-Issue Book Value per Share | ₹97.83 |
| P/B on Post-Issue Book Value | 1.43 times at ₹140 |
| Net Worth (Pre-Issue, FY2026) | ₹266.90 Crore |
| Net Worth (Post-Issue) | ₹476.90 Crore |
| Total Borrowings (FY2026) | ₹85.59 Crore |
| Debt to Equity (Post-Issue) | 0.18 times |
| Return on Net Worth (FY2026) | 16.02% |
| Return on Capital Employed (FY2026) | 11.89% |
