Lancor Holdings plans to raise Rs 75 crore

The board of Chennai-based Lancor Holdings Ltd, previously known as DBS Properties Ltd, has given its nod to raise up to Rs 75 crore by way of qualified institutional placement (QIP) or private equity.  

“At present, we are thinking of raising $12-13 million (around Rs 57-60 crore) by way of QIP,” said Mallika Ravi, chief executive officer, Lancor Holdings Ltd, adding the process was expected to be completed early next year.

Post QIP, the company’s paid up capital will increase to Rs 60 crore from Rs 4.5 crore.

The company currently has six residential projects in various stages of development. The projects include four in Chennai city — to be completed before March 2010 — and one each on Old Mahabalipuram Road and GST Road, near Chennai.

 

Ravi said the Rs 200-crore Adobe Valley on GST Road would be completed in two phases. While Phase I will be ready by June 2010, phase II will be complete in 2012. Spread over 12 acres, the project will have 680 units.

Lancor has set a target to become a Rs 500-crore company by 2011-12 from Rs 150 crore in 2008-09. “By that time, we will also look at foraying into affordable housing,” she added.