Man Infra construction acquires redevelopment project in BKC with 5 lakh square feet construction area, stock up nearly 3%

Man Infraconstruction announced on Monday it has acquired a prime redevelopment project in the Bandra Kurla Complex (BKC) in Mumbai as part of its strategic move into the premium redevelopment projects in sought-after locations. Shares of the company were trading 2.75% higher on Monday.

The project is a redevelopment of Artek Co-operative Housing Society in the Kalanagar area situated in the BKC which hosts several multinational corporations, financial institutions, and government offices.

The project has a total construction area of approximately 5 lakh square feet and offers a RERA carpet area of around 1.5 lakh square feet for sale, the firm said. The company aims to deliver the project in a span of three years.

Man Infraconstruction holds a 34% stake in the project which will be undertaken in one of its associate entities Arhan Homes. The construction of the property will be executed by Man Infraconstruction.

Man Infraconstruction is headquartered in Mumbai and has two business verticals — construction and real estate development. It is an integrated engineering, procurement and construction (EPC) company with nearly six decades of experience and execution capabilities in port, residential, commercial, industrial and road construction segments with projects spanning across India. The group has delivered 16 residential projects in Mumbai.

During the fourth quarter of fiscal year 2024, the company reported a 29% year-on-year (YoY) decline in its consolidated net profit at ₹64.7 crore. Revenue from operations declined 56% during the quarter to ₹296.7 crore while total income fell 52% YoY to ₹332.3 crore.

Operating earnings before interest, tax, depreciation, and amortisation (EBITDA) fell 60% to ₹49.6 crore during the quarter while the operating EBITDA margin declined to 16.7% from 18.3% in the same period a year ago.

Shares of the company have lost 8.5% since the beginning of the year. The stock has gained nearly 88% in the last one year.