Ansal API raises Rs 231.4 cr through QIP

Ansal Properties said it has raised Rs 231.4 crore through private placement of shares.

Realty firm Ansal Properties and Infrastructure said it has raised Rs 231.4 crore through private placement of shares with institutional investors for reducing its debt and execute ongoing projects.

In a filing to the Bombay Stock Exchange,Ansal API said the company would issue 2.57 crore equity shares (having a face vlaue of Rs 5 each) at Rs 89.95 per share aggregating to Rs 231.4 crore.

The company,which had opened the qualified institutional placement (QIP) earlier this week,decided to close the issue on Friday.

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Ansal API had initially planned to raise USD 35 million (around Rs 150 crore),but it increased the size of QIP to USD 52 million (around Rs 231 crore) on good response from investors,sources had said.

The company would utilise the funds raised through QIP to reduce its high cost debt. Its debt stands at around Rs 1,400 crore currently and the company is targeting to cut it by Rs 300 crore this fiscal.

Ansal API is developing many projects across the country.

Its one of the most prestigious projects is the 2,500-acre hi-tech city in Dadri,adjoining Greater Noida. The second phase of this project will start soon.

The company had reported a nearly four-fold jump in its consolidated net profit at Rs 38.79 crore for the quarter ended June 30 compared to Rs 10.21 crore in the same quarter last fiscal.

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The total income rose by 90 per cent at Rs 274.45 crore during the first quarter of the current fiscal against Rs 144.78 crore in the year-ago period.