DLF in plans to go with GIC for REIT
Real Estate

DLF in plans to go with GIC for REIT

DLF, the real estate major, is reportedly pulling out all the stops to become a debt-free company as it is in plans to team up with GIC to float a part REIT in future. However, the REIT listing may have to wait.

In the near future, GIC and DLF may have reportedly decided to do a part REIT. However, the company confirmed that the REIT listing may not happen in the coming two-three years.

Reports suggest that, DLF does not see it as an overhang anymore, thus terming the debt issue as a yesterday’s story. The debt load post qualified institutional placement (QIP) and promoter infusion is seen at close to Rs 20 billion. 

That said, the company will be reportedly going ahead with the next round of construction project. Also, it is aggressively expanding on the commercial leasing front. The next phase of Central Delhi project is also expected to start soon.

The QIP proceeds and further infusion of Rs 25 billion from promoters against the issue of warrants would help the firm significantly reduce debt that stood at around Rs 72 billion as on December 31, 2018. 40 per cent stake in rental arm DLF Cyber City Develppers had been sold by promoters KP Singh and his family for Rs 119 billion in August 2017. This deal included sale of 33.34 per cent stake in DCCDL to Singapore's sovereign wealth fund GIC for Rs 89 billion and buyback of the remaining shares worth Rs 30 billion by DCCDL.

DLF, the real estate major, is reportedly pulling out all the stops to become a debt-free company as it is in plans to team up with GIC to float a part REIT in future. However, the REIT listing may have to wait.In the near future, GIC and DLF may have reportedly decided to do a part REIT. However, the company confirmed that the REIT listing may not happen in the coming two-three years.Reports suggest that, DLF does not see it as an overhang anymore, thus terming the debt issue as a yesterday’s story. The debt load post qualified institutional placement (QIP) and promoter infusion is seen at close to Rs 20 billion. That said, the company will be reportedly going ahead with the next round of construction project. Also, it is aggressively expanding on the commercial leasing front. The next phase of Central Delhi project is also expected to start soon.The QIP proceeds and further infusion of Rs 25 billion from promoters against the issue of warrants would help the firm significantly reduce debt that stood at around Rs 72 billion as on December 31, 2018. 40 per cent stake in rental arm DLF Cyber City Develppers had been sold by promoters KP Singh and his family for Rs 119 billion in August 2017. This deal included sale of 33.34 per cent stake in DCCDL to Singapore's sovereign wealth fund GIC for Rs 89 billion and buyback of the remaining shares worth Rs 30 billion by DCCDL.

Related Stories

Gold Stories

Next Story
Resources

Schindler named among Forbes’ World’s Best Employers 2026

Schindler has been named among Forbes’ World’s Best Employers 2026, a global ranking recognising companies for their workplace environments.Compiled by Forbes in partnership with Statista, the ranking is based on independent employee feedback, including whether employees would recommend their organisation to friends and family.The company said the recognition reflected its focus on creating a workplace where employees can develop their expertise and build careers. ..

Next Story
Infrastructure Urban

India needs an export-execution mindset: Vishesh Jain

Interview with Vishesh Jain, Founder & CEO, EximpleWhat gaps in India’s global trade ecosystem led you to build Eximple, and what problem did you see businesses struggling with most?Eximple came out of a problem that all three founders had seen from different choke points in the trade ecosystem. India has millions of MSMEs and manufacturers, and many of them can make products that are genuinely competitive on quality. Yet only a small fraction is able to build meaningful international businesses. In our experience, the gap is usually not manufacturing capability; it is the ability to exe..

Next Story
Building Material

Nuvoco reports 13.5% revenue growth in Q2 FY27

Nuvoco Vistas Corp. Ltd. reported consolidated revenue of Rs 27.9 billion for Q2 FY27, up 13.5% year on year. Cement sales volume rose 9% to 4.7 million tonnes (MMT), while EBITDA increased 11% to Rs 4.11 billion.The company said it began its cement operations in 2014 with a 2.3 MMT per annum (MMTPA) operation at Nimbol. It now aims to reach 35 MMTPA of cement capacity by FY28, nearly 15 times its initial capacity. Its portfolio spans cement, ready-mix concrete and modern building materials.On sustainability and cost efficiency, Nuvoco partnered with CleanMax for a 46.4 MW wind-solar hybrid re..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code