If the countrys largest real estate developer DLF had been listed on the bourses over the past four years, it would have delivered a return unparalleled in the history of Indian stock markets.
Promoter K P Singh opted to delist the company in its earlier avatar as DLF Universal from the Delhi Stock Exchange in September 2003 by buying back the public holding, valuing the company at Rs 112 crore (Rs 1.12 billion). Over the past 45 months, DLF has seen an annualised appreciation of over 500 per cent going by the valuation it is commanding for its latest initial public offer.
The 10-odd per cent public shareholders would have potentially amassed wealth of over Rs 8,500 crore (Rs 85 billion) by now had the company remained listed. In a dramatic reversal though, the ace builder is now offering to dilute 10.26 per cent stake earlier bought back by the promoters dirt cheap – for less than Rs 50 crore (Rs 500 million), for a minimum of Rs 8,750 crore (Rs 87.50 billion).
More : inhome.rediff.com
Send an E-Mail for India Property Enquiry!
Related News from India Properties
DLF Plans IPO in First Quarter of 2007 After Resolving Dispute
Indian billionaire Kushal Pal Singhs DLF Ltd. plans to revive its stalled initial public offering in the first quarter of next year after resolving a dispute with some shareholders, people involved in the sale said. DLF may raise between $2 billion and $2.5 billion, the three bankers said, asking not to be identified because details are confidential. The New Delhi-based real estate developer in August shelved a planned December IPO after regulatory documents lapsed. Regulatory delays, following a complaint by shareholders, and investor concerns about DLFs valuation hindered plans to complete this year what the company hoped would be
Jaipur to get 200 kids computer education centres
Jaipur will soon have over 200 learning centres to promote computer education among underprivileged schoolchildren by providing them access to educational content and games, officials said Saturday. The unique project is an initiative of Hole-in-the-Wall Education Ltd. (HiWEL), Jaipur Municipal Corporation and the Rajasthan Council of Elementary Education (RCEE). A memorandum of understanding (MoU) to this effect was signed between the three partners here Saturday. According to the agreement, HiWEL will set up 200 playground learning centres (PLCs) with 400 computers in schools near low-income areas of the state capital. More : story.malaysiasun.com
Hot Property
Retail Investors with a horizon of over one year can consider subscribing to DLFs public issue. The company, which hopes to raise Rs 9,625 crore on the higher end of the band, will use the issue proceeds for land acquisition, development of existing properties and debt repayment. BUSINESS : DLF is Indias largest real estate company and owns development rights to 574 million sq ft of real estate, of which, 51% is in the National Capital Region (NCR) and 23% is in Kolkata. The company builds and sells residential, office and retail properties. It also proposes to enter hotels, special
Developing story
Though the Parsvnath Developers IPO is aggressively priced, it could bring listing gains and can also be a rewarding long-term story. As the speedy pace of new construction continues in towns and cities across the country, real estate stocks are attracting a lot of investor interest. Improved living standards and rising consumerism of middle classes is driving demand for housing projects as well as commercial complexes like shopping malls and multiplexes. The demand for office space, especially for the IT and the BPO industries, is growing at a fast clip. And
DLF likely to price offer at Rs550-600
DLF Ltd, the Delhi-based developer that is set to make an initial public offering (IPO), will likely price its shares between Rs550 and Rs600, helping it raise as much as Rs10,500 crore, in Indias biggest domestic share sale. This price band has been recommended by the companys bankers, said people close to the development within DLF who did not wish to be named. The company, however, has yet to sign off on it. Bankers close to the transaction corroborated this, on condition of anonymity. DLFs attempt to raise money from the markets, its second within a year, will likely face stiff competition