Special Correspondent

Proposal to raise

Rs. 300 crore through private equity

NEW DELHI: Parsvnath Developers plans to invest Rs.7,000 crore in the next five years in its ongoing projects. It also plans to raise Rs.300 crore through private equity by March-end.

“We are now developing 57 projects, with over 80 million sq. ft. across the country. Of this, we have put 40 million sq. ft. on fast track to deliver within the next two years,” company Chairman Pradeep Jain told reporters here on Monday. Of the total area under construction, about 80 per cent was housing and the balance commercial.

The company was expecting revenue to the tune of Rs.17,000 crore from these 57 projects, Mr. Jain said. Mr. Jain said internal accruals and money coming from sales would be utilised to fund these projects. “We are not willing to increase our debt, in fact in the next 2-3 fiscal, we foresee a debt free company,” he added.

The company’s gross debt as on December 31, 2009, stands at Rs.1,585 crore and plans to bring it down by about Rs.100 crore in this quarter

Mr. Jain said the company was holding negotiations with a few private equity players and expecting to close 2-3 transactions within this quarter. This quarter it might raise Rs. 200-300 crore from PE deals.