Oberoi Realty’s board of directors sanctioned the proposal to raise Rs. 6,000 crore via equity shares and other securities. The fund allocation will have the inclusion of qualified institutions placement (QIP), the company said.
Furthermore, the company said, that the price value of the raised fund will be the deciding factor in the current market scenario.
Earlier in August the Mumbai-bench of the National Company Law Tribunal sanctioned the resolution plan submitted by Oberoi Realty in link to the corporate insolvency resolution process of Nirmal Lifestyle Realty (NLRPL).
NLRPL reserves the development rights concerning land that measures nearly 20,262.40 sq meters on LSB Marg, Mumbai. The company plans ‘Eternia’ in the same location.
With the resolution plan, the company aims to pay nearly Rs.273 crore to creditors as part of a full and final settlement. The process will also lead to a 100% subscription to the equity share capital of NLRPL for nearly Rs. 1 lakh, raising the company to a wholly-owned subsidiary of the organisation.
The Mumbai Metropolitan Region (MMR) is witnessing intense competition as Raymond group unveils its business plan. After COVID-19, developers in the Indian real estate market are expanding their footprints beyond the home ground.
Like DLF, the Gurugram-based developer forays into the Mumbai real estate market. Similarly, Godrej Properties also ventures in new cities coming out from its bastion in Southern India and Noida witnessing a land purchase deal by Oberoi Realty.
Earlier this year, Bengaluru-based Brigade Enterprises has raised Rs.1,500 Crore by selling equity shares to institutional investors as part of its strategy to expand business. The company on September 2 launched its qualified institutional placement (QIP) issue to raise funds. The issue closed on September 5.
In a regulatory filling on Friday, Brigade Enterprises said a committee of directors approved the allotment of 1,30,43,478 equity shares to eligible qualified institutional buyers.
The shares were allotted at an issue price of Rs.1,150 per equity share. Hence, the company raised Rs.1,500 crore through the QIP route.
The shares were issued at a discount of 1.26 per cent of the floor price of Rs. 1,164.70 per equity share.
