To be in addition to Rs 500 cr through PE in SPVs.
Bangalore-based real estate company, Brigade Enterprises has announced that it will raise up to Rs 750 crore by the issue of equity-based securities to various investors by means of public or private offering or qualified institutional placement or through preferential share allotment.
However, there is no clarity yet on the preferable route and timing of this fund raising activity.
The plan to raise up to Rs 750 crore will be in addition to company’s earlier plan of raising Rs 500 crore through private equity investment to ramp up group’s hospitality and retail verticals through special purpose vehicle. J P Morgan is running the mandate to rope in PE investors and a deal is expected by the end of August. The realtor, which has plans to develop around eight to 10 million sq ft of area this fiscal, will utilise this fund flow to increase its foot print in retail and hospitality segment.
The real estate developer has a present debt book of Rs 670 crore with a leverage of 0.63 times by the end of March, 2010.
Brigade Enterprises posted a net profit of Rs 47.32 crore, a drop of 45 per cent in FY10 over the corresponding period last year. The net sales of the company stood at Rs 354.85 crore, a 2 per cent drop during this period over the same period last year.
