Cash-strapped DLF to sell 13-acre Gurgaon plot: report
19 Aug 2011
Real estate developer DLF, facing a heavy fine from the Competition Commission of India (CCI) for misusing its dominant position in the market, is reportedly selling a 13-acre plot in Gurgaon, Haryana, as part of its plan to ease its debt burden through asset sales.
About 1 million sq ft of commercial space can be built on the plot, which is expected to fetch Rs300 crore, says The Economic Times.
According to the report, a person close to the situation said that DLF is talking to a few large corporate houses and a high net worth individual. DLF is asking for a price of Rs2,800-3,000 per sq ft. The land is close to the new southern peripheral road in Gurgaon, which will connect National Highway 8 with MG Road.
The company declined to confirm the report. "We do not comment on market speculation," said Rajeev Talwar, group executive director at DLF.
A company press release announcing its first quarter results said, "While debt levels have remained similar to the previous quarter, our momentum on the non-core asset / business divestments have gathered pace, and these coupled with operational cash flows will help us in moderating our current debt levels."
DLF's net debt increased by Rs100 crore to Rs21,524 crore during the April-June quarter.