Realty major DLF will sell completed rental assets and commercial land parcels worth about Rs 9,300 crore to its joint venture with Singapore's sovereign wealth fund GIC.
In the joint venture firm DLF Cyber City Developers Ltd (DCCDL), DLF has 66.66 per cent stake while GIC holds the remaining 33.34 per cent. GIC acquired the stake in DCCDL in late December from DLF promoters for about Rs 9,000 crore.
"Payables to DCCDL Group to be settled via sale of certain yielding assets and land parcels earmarked for commercial use," it added.
Later in a conference call, DLF's CFO Saurabh Chawla said the company would like to transfer all commercial assets, including land parcels, to the JV but certain assets cannot be transferred due to regulatory norms.
DLF has completed rent-yielding assets in Delhi and has commercial land parcels in Gurugram and Chennai that can be transferred to DCCDL, Chawla said, adding that the company is in discussions with GIC to transfer these assets.
"We will square off DLF payables to DCCDL by transferring some commercial assets," Chawla said.
India's largest realty firm is likely to transfer about Rs 3,500 crore worth completed rental assets and about Rs 6,000 crore worth land parcels.
Moreover, DLF can sell land parcels earmarked for commercial development to the JV.
DLF promoters -- K P Singh and family -- had in August last year sold entire 40 per cent stake in DCCDL for Rs 11,900 crore. This deal included sale of 33.34 per cent stake in DCCDL to GIC for Rs 8,900 crore and buy-back of remaining shares worth Rs 3,000 crore by DCCDL.
Post this transaction, DLF promoters infused Rs 9,000 crore in the company and would pump in Rs 2,250 crore more over the next 18 months.
DLF has made preferential allotment of compulsorily convertible debentures (CCDs) and warrants to the promoters against infusion of funds.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)