Parsvanath expects cash inflow of Rs 250 cr by '09

Parsvnath Developers Ltd, a major real estate player, expects to start receiving positive cash inflow from its Delhi Metro Rail Corporation Ltd (DMRC) project by 2009.

"The company will start receiving positive cash flows from all of it 11 DMRC projects by end of next three years", informed a source closed to the development.

"The company has already started receiving cash flow from some of the operational DRMC stations but the actual positive cash flow will only take place after three years", he said.

He also said that the company expects to receive approximately Rs 250 crore per annum as positive cash flow from its DMRC projects . The company has 1.8 mn sq ft as leaseable area under its DMRC projects.

The company has been granted a concession by the DMRC for a period of either 12 or 30 years for the purpose of development, procurement, financing, construction, management, maintenance and licensing the use of build-up spaces/ facilities in specified area in and around metro stations in New Delhi.

The company has also acquired lands in Ahmedabad worth Rs 80 crore through land auction from Ahmedabad Urban Development Authority (AUDA).

The company had acquired 4834 sq metre land in Vastrapur and 22365 sq metre of land in Vejalpur in Ahmedabad. The company will develop a commercial centre, multiplex and hotel in both the acquired plots.

The company is also coming out with an initial public offer (IPO) of Rs 1000 crore to fund its various project in India.

The public offer would constitute 18.30 percent of the fully diluted post issue paid-up capital of the company.