DRA Homes Unveils ₹125-Crore ESOP as Part of Its Roadmap Toward a Future IPO

Chennai-based real estate developer DRA Homes has taken a major step toward its long-term growth plan by launching a ₹125-crore Employee Stock Ownership Plan. The ESOP forms part of the company’s structured preparation for a potential IPO within the next three years. With this initiative, DRA Homes has granted 5% ownership to 325 employees, a move that has pushed the company’s valuation to around ₹2,500 crore.

The fully granted ESOP will vest over a period of three years and is expected to create as many as ten crorepati employees. The company views this as an investment in its workforce while also strengthening its financial discipline ahead of the listing.

Managing Director Ranjeeth Rathod said the ESOP was rooted in a simple belief that employees who contribute to the company’s vision should also benefit from its wealth creation. He emphasised that equity brings long-term value, freedom, and security to employees and ensures that they become true stakeholders in DRA Homes’ future. Rathod added that the ESOP will be implemented in three phases over three years, with eligibility requiring at least one year of service.

Currently valued at ₹2,500 crore, the company is targeting revenues of ₹800 crore this financial year. This comes after it posted ₹525 crore in revenue and ₹50 crore PAT last year. DRA Homes also holds inventory worth ₹2,700 crore, highlighting the depth of its ongoing developments in the Chennai market.

The company employs 315 people and is presently handling 16 residential and commercial projects in and around Chennai. As part of its expansion strategy, it is also preparing to enter the Pune real estate market. On the technology front, DRA Homes is experimenting with 3D printing for villa construction and utilising aluminium formwork to address labour shortages and enhance building efficiency.

With its ESOP launch and future-focused expansion plans, DRA Homes is positioning itself strongly for its upcoming IPO journey.