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| Edited By: Pooja Sarkar |Source: DNA |Updated: Mar 17, 2018, 02:42 AM IST
Housing Development and Infrastructure Ltd (HDIL) is set to raise Rs 1,200 crore through another tranche of qualified institutional placement (QIP).
The HDIL management is leaving for Singapore and then Hong Kong for roadshows. They plan to do it in the next ten days, two sources familiar with the development said.
The placement of 3.24 crore new shares will be done at Rs 370 per share and promoter stake will fall to 44.17% post issue from 48.31% now.
Hari Prakash Pandey, vice- president, finance of the company, denied any such move, terming it ‘speculation’.
At an earnings conference call on Wednesday, Pandey had said the company needed about Rs 1,400-1,500 crore. This is to acquire land for its Mumbai Airport project, to ramp up commercial projects in Kurla and Andheri suburbs and as seed capital for its rental housing project in Virar, where construction would begin in three years.
“We are looking at a combination of debt, internal accruals and equity. We are weighing options,” he had said.
HDIL is also raising money through non convertible debentures (NCD). It raised Rs 425 crore in the first tranche some days ago, and another Rs 350 crore later.
In all, HDIL plans to raise Rs 1,150 crore through NCDs with an average borrowing cost of 12%. The money will be used to repay old, costlier debt.
