Emaar MGF, a joint venture between Emaar Properties of Dubai and MGF Development Limited (MGF) of India, said it is planning to raise Rs 3,500 crore through its launch of initial public offering (IPO) in the next 90 days.
Emaar MGF Executive Vice-Chairman and Managing Director Shravan Gupta, said that the market is quite stable now and if the trend continues, IPO will be launched in the next three months. Early last month, the company said that it had received the approval of the Securities and Exchange Board of India (Sebi) for the IPO.
Gupta said the proceeds of the company could be used in repaying debt of Rs 5,000 crore and the company is hopeful to pay off Rs 2,000 crore by March 2011.
Currently, Emaar MGF has 36 projects under construction in India and the company plans to earn Rs 12,000 crore from these projects in the next two years. MGF has established itself as one of the key players in retail real estate development in Northern India and has delivered approximately 2 million square feet of retail space