DLF to acquire land in 62 cities

DLF to acquire land in 62 cities
Real estate major DLF Ltd on Tuesday came out with a public issue of 175,000,000 shares of Rs 2 each, having a price band of Rs 500-550 per share.
- The issue will constitute 10.26 per cent of the fully diluted post-issue capital of the company
- DLF's mega issue will raise Rs 9,625 crore, at the upper band, from the market
- While around Rs 3,500 crore (Rs 35 billion) of the issue proceeds will be pumped in for acquisition of land in 62 cities across the country, Rs 3,493.4 crore (Rs 34.934 billion) will be put in for the expenditure of existing projects and the remaining for loan prepayments, said DLF vice chairman Rajiv Singh.
- The company has land reserves of 10,255 acres with an estimated developable area of approximately 574 million square feet
- DLF has also plans to foray into hospitality sector, special economic zones (SEZs), infrastructure and Insurance business, said Singh.
- On the higher side, DLF's current enterprise value stands at Rs 93,743 crore (Rs 937.43 billion => $25 billion(dollars) Marketcap). DLF will occupy the eighth position in terms of market capitalisation ranking, after Reliance Communications (Rs 1,03,110 crore or Rs 1,031.10 billion) and before ICICI Bank (Rs 82,119 crore or Rs 821.19 billion).
- The real estate sector will cross the market capitalisation of Rs 170,000 crore (Rs 1,700 billion) after the DLF listing. The sector will be among the top-ten sectors after telecommunication, oil exploration and power and ahead of pharmaceuticals, steel and engineering sectors