Ansal Properties to infuse Rs 46 cr for faster projects completion

Ansal Properties and Infrastructure Limited will infuse Rs 46 crore via warrants, which will be used for decreasing debt and expediting the development of existing projects. During the board meeting of the firm on February 11, the members considered the issue and allotment of warrants to Promoter Group entity and Non-Promoter entity (Public) investors. The Board of Directors has viewed and sanctioned the issue and allotment of 2,70,00,000 Warrants to Promoter Group entity and Non Promoter (Public) investors, which would ultimately be converted into equity share of the firm, providing the investors 2,70,00,000 of equity shares denoting 14.64% of the post issue equity outstanding. Out of the total investment of about Rs 46 crore, around Rs 14.79 crore will be infused by ICP Investments (Mauritius) Limited, a Foreign Venture Capital Investors, against allotment of 87,00,000 warrants and balance will be pumped in by Promoter Group Entity. The board noted that capital raising has become essential to extend the permanent capital base as against the debt/working capital.The board additionally commented that with the changing environment of doing real estate business, the firm needs to depend more on equity and permanent capital sources. Board also discussed the significance of reducing debt at a much faster speed and eventually becoming debt-free.The firm has concentrated on reducing debt in the last 12 to 18 months by settling debts with different lenders. Image Source Also read: Godrej Properties to invest Rs 7,500 cr in next 12-18 months