Realty player Emaar MGF today said it may hit the capital market within the next 90 days to raise about Rs 3,500 crore through an initial public offer, its second such attempt after it was forced to withdraw by poor market response in 2008.
"Within the next 90 days we may launch the IPO but it will depend on how the market is," Emaar MGF Vice-Chairman and Managing Director Shravan Gupta told reporters here.
The company had in 2008 planned to launch its maiden public offer to raise Rs 7,000 crore, but had to withdraw due to poor market response.
With the stock market again on the upswing in the recent past and even touching the 18,000 mark this week, the company is looking to take the opportunity.
"The market has been very positive in the last few weeks, if this trend continues then we will soon hit the market," he added.
Early last month, the company said it had received market regulator Sebi's approval to launch its IPO. It had filed the draft red herring prospectus (DRHP) with the Sebi on September 29 last year.
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Emaar MGF, a joint venture between Dubai-based Emaar Properties and domestic firm MGF, is not looking at any pre IPO placements, he added.
On how much stake the promoters are likely to dilute through the IPO, he declined to comment.
While MGF holds 51 per cent stake in the JV, Emaar has 44 per cent and the rest with other investors.
Gupta said the proceeds of the IPO could be utilised to repay debts of the company. The firm has debt of over Rs 5,000 crore as on March 31.
"The loan repayment will be through internal accrual, IPO proceeds and different lines of credit available," he said, adding the company's current debt equity ratio is 1:1.
Asked about the reported differences between the joint venture partners and speculations of Emaar exiting the JV, Gupta said: "There are no differences between Emaar and MGF, we are partners."