Parsvnath Developers to raise Rs 300 crore

Realty company Parsvnath Developers plans to raise Rs 200-300 crore in the present quarter through private equity (PE) deals. It is in talks with a few PE companies and hopes to close two or three transactions within this quarter.

Gross debt as on December 31 was Rs 1,585 crore and it planned to bring this down by Rs 100 crore this quarter. This will be achieved by refunds from some state governments due to cancellation or stalled projects. The company also plans to launch three residential and one information technology park by the end of March, 2010.

Parsvnath reported an over four-fold increase in consolidated net profit at Rs 24.9 crore for the third quarter ended December 31, up from Rs 5.4 crore in the same quarter last year. The increase was primarily due to the completion of 37 projects, comprising 11.23 million sq ft.

The company said it would invest Rs 7,000 crore in the next five years in ongoing projects.