PEs eye stakes in DLF Assets
The Economic Times, February 18, 2009, Page 4
Rajesh Unnikrishnan & Boby Kurian MUMBAI BANGALORE
A CONSORTIUM of private equity funds, including UAE’s leading financial institution Taib Bank, the Blackstone Group and JP Morgan, is believed to be in advanced negotiations with promoters of the DLF Group to pick up a majority stake in affiliate company DLF Assets. The deal, if finalised, would fetch DLF Assets about $400 to $450 million.
A senior team from Taib Bank was in Delhi last week holding talks with DLF Assets, a person involved in the development said. However, Taib is not looking at a large exposure at this point. The Middle East financial giant is evaluating a $50-million investment in DLF Assets, the person added. “The deal would see a consortium of PE firms investing in DLF Assets. Over five to seven PE firms are in negotiations with DLF Assets. None of them are willing to invest the required funds alone and all are negotiating to invest in the range of $50 to $100 million,” an investment banker close to the development said.
DLF Assets is in the market to meet payment obligations and for rolling over immediate debt as its planned $1.5 billion Real Esate Investment Trust listing in the overseas market, has been postponed due to volatility in the global stock market. DLF Assets is scouting for various options to raise funds including through PE deals. The company owes about Rs 4,800 crore to DLF, the listed entity of the group.
When contacted DLF vice-chairman Rajiv Singh said: “I cannot comment anything on DLF Assets now.” However, he had earlier said that “if all goes well, we can expect to receive in excess of Rs 5,000 crore from DLF Assets, in some mixture of debt and equity by the end of this financial year.”
The Economic Times, February 18, 2009, Page 4
Rajesh Unnikrishnan & Boby Kurian MUMBAI BANGALORE
A CONSORTIUM of private equity funds, including UAE’s leading financial institution Taib Bank, the Blackstone Group and JP Morgan, is believed to be in advanced negotiations with promoters of the DLF Group to pick up a majority stake in affiliate company DLF Assets. The deal, if finalised, would fetch DLF Assets about $400 to $450 million.
A senior team from Taib Bank was in Delhi last week holding talks with DLF Assets, a person involved in the development said. However, Taib is not looking at a large exposure at this point. The Middle East financial giant is evaluating a $50-million investment in DLF Assets, the person added. “The deal would see a consortium of PE firms investing in DLF Assets. Over five to seven PE firms are in negotiations with DLF Assets. None of them are willing to invest the required funds alone and all are negotiating to invest in the range of $50 to $100 million,” an investment banker close to the development said.
DLF Assets is in the market to meet payment obligations and for rolling over immediate debt as its planned $1.5 billion Real Esate Investment Trust listing in the overseas market, has been postponed due to volatility in the global stock market. DLF Assets is scouting for various options to raise funds including through PE deals. The company owes about Rs 4,800 crore to DLF, the listed entity of the group.
When contacted DLF vice-chairman Rajiv Singh said: “I cannot comment anything on DLF Assets now.” However, he had earlier said that “if all goes well, we can expect to receive in excess of Rs 5,000 crore from DLF Assets, in some mixture of debt and equity by the end of this financial year.”
Posts
No comments:
Post a Comment