Ansal Properties to raise Rs6.5 billion via qualified institutional placement

Ansal Properties and Infrastructure will raise around Rs6.5 billion through a qualified institutional placement (QIP) in February 2010, a banker involved in the process told the Financial Express.                                           

The board of the real estate developer had decided to seek shareholders approval to issue equity shares worth up to Rs15 billion to institutions, and has now mandated IDFC-SSKI as its lead banker for the Rs6.5 billion QIP, the paper said.                                         

"We do not comment on market speculation," the company spokesman said when contacted by the paper.                                           

The funds raised through the QIP would be mainly used to retire the company's debt of Rs10 billion and fund its Rs20 billion megapolis project, the paper said.