Infrastructure Development Finance Company (IDFC) today said it was in talks to buy the entire stake of the country's largest real estate player DLF in an IT park in Noida in Uttar Pradesh.
"IDFC is in talks with DLF for a business proposal," the financial company said in a filing to the Bombay Stock Exchange (BSE) in response to a report that stated it is in talks with the realty major to buy its entire 70% stake in a IT park in Noida.
The company said it evaluated opportunities for loan and investments in infrastructure projects from time to time as part of its normal business and opportunities "might or might not lead to any deal as aforesaid".
In a separate filing to BSE, DLF said: "...The asset [IT Park, Noida] is held in a joint venture company through a wholly-owned subsidiary of the company. The subsidiary is exploring various strategic options, including the sale of its holding in the joint venture company".
DLF had earlier announced plans to raise up to Rs 7,000 crore in the next 2-3 years from sale of non-core assets to cut its net debt that stood at whopping Rs 21,524 crore as of June 30, 2011.
Shares of IDFC today closed 5.72% up at Rs 110.90 on the BSE, while DLF's shares jumped 4.92% from the previous close to end at Rs 184.50.