Omaxe sets up wholly owned unit to take on PPP real estate projects

Omaxe Ltd has approved the incorporation of a wholly owned subsidiary that will execute real estate projects under the public-private partnership (PPP) model, the company said in a stock exchange filing dated 26 October 2026.

Omaxe will hold 100 per cent of the equity share capital of the new company. The initial capital is ₹1 lakh, to be paid through banking channels for 10,000 equity shares of ₹10 each. The company said the name of the entity is yet to be reserved and approved by the Registrar of Companies under the Ministry of Corporate Affairs. The date of incorporation will be confirmed only after that process is complete.

The disclosure was made under Regulation 30, read with Schedule III, Part A, Para A, of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The intimation was submitted to BSE Limited and the National Stock Exchange.

What the new unit will do

A PPP project is one in which a government body and a private company share the work on a public asset. The private partner typically builds and runs part of it and earns from the commercial space attached to it. The new subsidiary will work only on real estate activities under this framework.

The company said the segment needs close coordination with government bodies. It described the move as part of a wider plan to diversify revenue beyond its traditional residential and commercial development business. Omaxe describes itself as active in residential, commercial and retail real estate across 27 cities in eight states.

The company has already taken on PPP work. In March 2025, the state road transport corporation UPSRTC awarded BeTogether, a brand Omaxe's managing director Mohit Goel founded, a contract to modernise six bus terminals under the PPP model. The project has a total investment of around ₹2,700 crore, an expected revenue of over ₹4,700 crore and a total saleable area of 45.59 lakh square feet.

In January 2026, Omaxe reported a PPP project at Omaxe Chowk in Ludhiana. It is being executed under an agreement between the Ranchi-based RLDA and Ludhiana Wholesale Market Private Limited, a wholly owned subsidiary of Omaxe Ltd. The project is scheduled for delivery by June 2030, in line with RERA timelines.

Hospitality tie-up and recent results

On 16 October 2026, Omaxe signed a memorandum of understanding with Carnation Hotels Private Limited, a wholly owned subsidiary of Lemon Tree Hotels, to operate 10 hotel projects with 4,000 keys across India. The company estimates the investment at about ₹4,000 crore. The projects span Lucknow, Vrindavan, Amausi, Ghaziabad, Greater Noida, Amritsar, Kaushambi and Faridabad.

For the June quarter, Omaxe reported revenue of ₹406 crore, 16.5 per cent higher than the preceding quarter. Its reported profit was ₹1.30 crore, which was modest relative to that revenue.

The company also has a regulatory matter to note. On 24 September 2026, the Securities and Exchange Board of India issued an order imposing penalties of ₹1.92 crore on Omaxe and restricting the company from the securities market for three months over public shareholding violations.

What to watch

The next event is the board meeting on 27 October 2026, when Omaxe will consider unaudited financial results for the July-September quarter of FY27. Investors will want to see how the quarter compares with June on revenue and profit.

Beyond that, two steps remain open. The Registrar of Companies must approve the subsidiary's name before it can be incorporated, and the company has not announced a date for incorporation or for the first project the new unit will take on.