Ajmera bets on acquisitions, JVs to expand m-cap to $5 billion

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Subscribe to enjoy similar stories. MUMBAI : Mumbai-based Ajmera Realty and Infra India Ltd aims to expand its market capitalization (m-cap) by 10x to $5 billion through acquisitions and joint ventures (JVs), said Dhaval Ajmera, director at Ajmera Group. Ajmera added that to achieve the goal, the company is targeting at least 25-30% growth each year in terms of volumes, sales, and profitability.

While he did not specify a timeline, he said it may stretch beyond five years. The realtor's current m-cap stands at ₹4,015.61 crore (approximately $472 million). The family-run real estate firm plans to invest ₹2,300 crore generated from internal cash accruals over the next three to four years in acquisitions, JVs, joint development agreements (JDAs), and society redevelopment opportunities.

Through such projects, the company expects to monetize its 11.1 million square feet land bank in Mumbai and acquire more land in other locations, Ajmera told Mint. “We are definitely looking at a $5 billion m-cap," he said. “The plan is to acquire properties or probably get into JVs or transactions at multiple locations rather than probably one location." With three generations at work, Ajmera pointed out the company had the capacity to oversee seven to 10 projects simultaneously.

In 2021, the company planned to grow its pre-sales of ₹250-300 crore by 5x. The company is targetting pre-sales worth ₹1,350 crore in 2024-25. If achieved, the realtor will have completed its five-year goal in four years.

To be sure, Ajmera’s 25-30% growth target isn’t farfetched, going by the company’s recent financials. In the fiscal year ended 31 March 2024, its net sales surged 35% to ₹489 crore, and net profit rose 20% to ₹85.33 crore. That wasn’t the case in