The fund raising exercise is part of the company’s stated objective of turning into a debt-free company by March 2019. The company plans to issue up to 17.3 crore shares through QIP, it had announced earlier. The company spokesperson declined to comment for the story.
DLF’s net debt currently stands around Rs 5,500 crore following the formation of its recent joint venture with Singapore’s sovereign wealth fund GIC. The company has repaid some bank loans and transferred a substantial part of its debt the joint venture entity.
Post GIC, DLF promoters K P Singh and family have infused Rs 9,000 crore in the company and is expected to infuse additional Rs 2,250 crore over the next 12-18 months.
As infusion of funds by promoters would lead to increase in their shareholdings above permissible limit of 75%, the company is planning to launch QIP and maintain minimum public shareholding norm of 25%.