Godrej Properties, the real estate wing of Godrej Group, has announced its plan to raise Rs.700 Cr. The fund will be raised through rights issue.
MUMBAI: The real estate wing of Godrej Group, Godrej Properties, has announced its plan to raise a fund worth Rs.700 Cr. The fund will be fully utilized for developing its new projects. Godrej Properties plans to raise the fund through rights issue.
Aiming growth and for developing more number of realty projects, Godrej Properties plans to raise Rs.700 Cr through rights issue.
The plan was announced by Pirojsha Godrej, the MD and CEO of Godrej Properties Ltd. While declaring the fourth quarter numbers of the firm, he announced the plan to raise the fund.
The rights issue is expected to be launched soon. Most probably it would be launched in the second quarter of the current financial year, Mr. Godrej informed.
Though the market was sluggish throughout the country, we could achieve greater heights during last year. For the Godrej Properties, financial year 2012-13 was a good one. We want to continue this, Mr.Godrej added.
Now the firm plans to launch around 15 projects in various cities of India. The group will first develop projects in Bangalore, Delhi-NCR and Mumbai. Later the group also has plans to develop projects in Chennai and Pune as well.
The group plans to invest the entire amount for developing these new projects. However a good share of the fund will be used for completing the ongoing projects as well.
When asked about the sluggish momentum which real estate market faces now, he said that the current year is more hopeful. He admitted that the last year was not a good one for the developers. He expects that this year will be a good one for the developers.
The interest rate cuts and other reforms will boost the sector, he added. Home sales are expected to be on the rise. Thus it is the right time to raise fund for developing projects, he concluded.