Parsvnath Developers announced it first quarter results for FY12. The company reported a consolidated net profit of Rs 25.8 crore in the quarter ended June 2011. The consolidated net sales of the company stood at Rs 217 crore for the first quarter of FY12.
The company plans to raise Rs 2000 crore through qualified institutional placement (QIP). Chairman Pradeep Jain said that this fund will be used to reduce the debt on their balance sheet.
Jain told CNBC-TV18, "We have over Rs 1200 crore debt on our balance sheet on net basis. With this capital (Rs 2000 crore), we would reduce our debt."
"We have enough cash for the ongoing projects and have fairly good working capital in hand," he added. Below is the edited transcript of the interview. Also watch the accompanying video. Q: Your consolidated level numbers are not great because profits and revenues have slipped. What led to the pressures in the current quarter?
A: A couple of special purpose vehicles (SPVs) are with the private equity investors on a standalone project basis. In those projects on a quarter-on-quarter (QoQ) basis, we have not been releasing our stocks, which is why our topline and bottomline has declined in those SPVs. Q: You have been planning a Rs 2000 crore QIP. How soon do you want to raise the money? Will it be in one tranche? Have you identified any potential interested parties?
A: We passed this resolution in the Board and referred it to the shareholder to approve the Rs 2000 crore fund raising in the next 12 months. Right now, we haven
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