Raymond Stock From ₹1,561 to ₹530: The Truth Behind Stock Price Crash

Raymond Stock Crash After Demerger???

On May 14, 2025, Raymond Ltd. shocked investors with a sharp 66% drop in its stock price. But this wasn’t a crash driven by panic selling — it was the result of a strategic business move: the demerger of Raymond’s real estate arm, Raymond Realty. If you’re wondering what this means for your investments or the future of Raymond, here’s a clear breakdown.

Why did Raymond stock crash by 66%?

Raymond’s shares fell from around ₹1,561 to nearly ₹530 on Wednesday, May 14. However, this wasn’t due to negative news or poor performance.

• The stock became ex-date for the Raymond Realty demerger.
• The fall was a notional price adjustment, not an actual loss in value.
• Many mobile trading apps still showed old prices, making the dip seem more dramatic.

The market adjusted Raymond Ltd.’s share price because its real estate business was carved out into a new, separate company.

What the Demerger Means for Shareholders

Investors who held Raymond shares as of the record date (May 14, 2025) have not lost money. Instead, they now own shares in two companies:

• Raymond Ltd. (core business)
• Raymond Realty, which is now an independent entity

Each Raymond Ltd. shareholder will receive one share of Raymond Realty for every share they held.

Official Website Of Raymond

Raymond Realty: Financial Highlights and Future Prospects

Raymond Realty enters the market as a strong standalone player in the real estate sector.

Q4 FY25 Performance:

• Revenue: ₹766 crore (13% YoY growth)
• EBITDA: ₹194 crore (margin of 25.3%)
• Net cash surplus: ₹399 crore
• Booking value: ₹636 crore

Key Projects Driving Growth:

• The Address by GS 2.0
• Invictus
• Park Avenue—High Street Retail (Thane)
• The Address by GS (Bandra)

Massive Expansion Through JDAs

Raymond Realty is rapidly expanding in the Mumbai Metropolitan Region (MMR) using joint development agreements (JDAs).

Recent JDA Highlights:

• New projects signed in Mahim and Wadala, worth ₹6,800 crore in gross development value
• April 2025: Another JDA signed in Mumbai, adding ₹5,000 crore potential
• Total expected revenue from current projects: Close to ₹40,000 crore

This includes:

• ₹25,000 crore from its Thane land bank
• ₹14,000 crore via the JDA model

Upcoming Listing of Raymond Realty

Raymond Realty will be listed on the NSE and BSE by Q2 FY26 (September 2025).

This listing will:

• Allow investors to track their performance separately
• Help in unlocking value within the Raymond Group
• Provide a precise valuation for both lifestyle and real estate segments

Why This Move Matters for Raymond Group

The Raymond stock demerger is part of a larger strategy to reshape the company’s structure:

• In September 2024, Raymond had already demerged its lifestyle business.
• With real estate separated, each unit can focus on its core growth plans.
• It gives investors greater clarity and enables better valuation by distinct companies.

Conclusion

The Raymond stock demerger marks a turning point for the company and its investors. While the price drop may look alarming at first glance, the move is strategic and aimed at building stronger, focused businesses. As Raymond Realty moves toward listing, investors can look forward to more transparent valuations and targeted growth.

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