DLF to raise Rs700 crore to fund metro project
DLF, the country’s largest real estate developer, plans to raise Rs700 crore for a privately financed metro rail project for the benefit of Gurgaon residents, which also includes a slew of townships and business centres set up by DLF itself. The company will hold a 26% stake in the partnership with infrastructure financing company IL&FS for the project while the remainder would be held by itsd partner.
Making the announcement the DLF spokesperson also revealed that a Special Purpose Vehicle (SPV) would raise Rs700 crore within the next six months. The route of raising funds would, however, be decided in due course of time. Commenting on the market scenario DLF vice-chairman Rajiv Singh admitted, “Raising funds in the current market situation would be a bit difficult, but the project’s viability will attract lenders. DLF would also be contributing its share of equity.”