DSK Developers launches Rs 200 cr public issue of debentures

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Realty firm DSK Developers Ltd today launched a public issue of debentures to raise up to Rs 200 crore to part fund its four projects entailing a total investment of about Rs 1,200 crore over the next three years.
The public issue of secured redeemable non-convertible debentures (NCDs) will close on August 26 and the lead manager is SBI Capital Markets Ltd.
"We have launched public issue of NCDs to fund our four ongoing real estate projects in Pune. The overall size of the issue is Rs 200 crore," company's Chairman and Managing Director D S Kulkarni told reporters here.

He said the company is coming up with 218-acre integrated township near Pune.
"The first phase comprising 20 acre was launched in June involving an investment of Rs 850 crore," he said, adding that the cost of other three projects is about Rs 350 crore.
Pune-based DSK Developers would meet the Rs 1,200 crore investment in these four projects through bank debt, advances from sales and proceeds of public issue of NCDs.

From the Rs 200 crore NCDs issue, the company would use about Rs 150 crore from the issue proceeds for the first phase of the township and the rest for other three projects.

The coupon rate of NCDs, proposed to be listed on the BSE, ranges from 12.5 per cent to 12.65 per cent.
Besides Pune, DSK Developers has projects in Mumbai, Bangalore, Nashik and New jersey, USA.
DS Kulkarni Developers' is currently developing 13 projects in India with nearly 5 million sq ft of built up area and one project in New Jersey, USA.
Share price of the company settled at Rs 69.05 a share on BSE, up by 0.88 per cent from previous closing. Promoter has 47.8 per cent stake in the company.