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BPTP's IPO uncertain over market condition

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Press Trust of India New Delhi
Last Updated : Jan 21 2013 | 6:57 AM IST

Realty firm BPTP today said there is no immediate plan to launch its Rs 1,500-crore initial public offer due to volatility in the stock market.

The company had earlier this year received market regulator Sebi's approval for an IPO to fund its existing and future projects, and retire debt.

"Market is volatile... We don't have any immediate plan to hit the market," BPTP Managing Director Kabul Chawla told PTI here.

The company's approval from Sebi is valid till April next year, he added.

When asked if the company will launch the IPO within the stipulated time-frame, Chawla declined to comment.

The company had earlier planned to hit the capital market in early 2010-11 fiscal.

BPTP had planned to raise about Rs 1,500 crore by diluting up to 25 per cent of promoters' stake in the company. It had filed Draft Red Herring Prospectus (DRHP) with Sebi for the IPO in December 2009.

The company had said that out of the fund raised through the IPO, Rs 325 crore would be used to partly retire its debt of Rs 771 crore. Another Rs 459.4 crore would be used on construction and development projects in its 'Park Elite Floors' at Faridabad.

The realty firm had said it would utilise Rs 514 crore for the payment of development charges to the government authorities for its ongoing and future projects.

At present, BPTP has 17 ongoing projects with a saleable area of 39.39 million sq ft and 40 forthcoming projects with an area of 57.14 million sq ft.

It was involved in the country's largest land-deal of Rs 5,006 crore in Noida, but had to surrender as it was unable to arrange funds by the stipulated date.

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First Published: Dec 16 2010 | 7:30 PM IST

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