Hubtown guides for ₹6,000 cr pre-sales in FY27, plans 35% debt cut
Management set a big step-up target for sales and collections, while cleaning up the cap table and debt stack.
— 1 earlier story on Hubtown Ltd. →What's new
- Hubtown guided for FY27 pre-sales of ₹6,000 cr and collections of ₹3,000 cr.
- Two promoter-entity mergers are NCLT-approved; a third awaits exchange clearance, all effective April 1, 2025.
- A ₹341 preferential issue is cancelled; the company is now evaluating a QIP.
Why this matters
The guidance implies a 36% jump in pre-sales and a 58% surge in collections, a significant operational step-up. Combined with a plan to cut debt by 35% and a shift in fundraising method, it signals a push to deleverage and reset the capital structure.
What we're watching
- Execution on the ₹6,000 cr sales guidance against a market cycle.
- The final terms and timing of the new QIP.
- Progress on the third promoter-entity merger pending exchange approval.
The full read
Hubtown is targeting a major leap in FY27, guiding for ₹6,000 crore in pre-sales and ₹3,000 crore in collections. That's a 36% jump from FY26's ₹4,400 crore and a 58% increase from ₹1,900 crore. Management is simultaneously streamlining the corporate structure. Two promoter-entity mergers are NCLT-approved, a third awaits exchange clearance, and all become effective April 1, 2025. The fundraising plan has also changed: a ₹341 preferential issue is off the table, and a QIP is now under evaluation. On the liability side, Hubtown plans a 35% debt reduction by year-end, aided by project completions and a new ICICI construction facility at 12%. The guidance sets a high bar. Meeting it will require a sharp pickup from FY26's actuals.
Questions answered
- How much does Hubtown plan to reduce its debt by?
- Management expects to cut consolidated debt by 35% by the end of FY27. This will be partly funded by completing the 25 South project and refinancing high-cost borrowing.
- Why did Hubtown cancel the preferential share issue?
- The company cancelled a previously announced preferential issue priced at ₹341 per share and is now evaluating a Qualified Institutional Placement (QIP) instead. The filing does not specify the reason for the switch.
- What is the status of the promoter-entity mergers?
- Two of the three mergers have been approved by the NCLT. A third is awaiting exchange approval. All three will be effective retrospectively from April 1, 2025.
- What is the new loan Hubtown is taking?
- The company is refinancing some high-cost borrowing with a new ICICI Bank construction loan at 12%. The move is part of its debt reduction strategy.
Hubtown Ltd.
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All notes on HUBTOWN →- 21 May 2026 · 9:03 PM IST Hubtown guides for ₹6,000 cr pre-sales in FY27, plans 35% debt cut
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