DB Realty rebounds post clarification; stk up 11%

DB Realty touched an intraday high of Rs 140.50 and an intraday low of Rs 116. At 15:16 hrs the share was quoting at Rs 140.50, up Rs 13.90, or 10.98%.
 
It was trading with volumes of 1,291,167 shares. In the previous trading session, the share closed down 1.90% or Rs 2.45 at Rs 126.60.

Speaking exclusively with CNBC-TV18, Vinod Goenka of DB Realty clarified that there is no connection between DB Realty and Etisalat-DB shareholding. He said that around 30% of promoter stock is pledged. Promoter stock was pledged prior to IPO. None of the pledged share has been sold in the market. Pledged shares are held by ICICI.

He further said that FY11 sales of the company are seen around Rs 3500 crore, which are highest sales ever. Debt of the company stands at only Rs 380 crore. The company has no problems to fund any projects under construction. He feels that the company will be able to lock in PE investor in Bandra project in next week to make repayment. Pending land payment for the company is of Rs 800 crore.

He feels that PSU banks are likely to hold back funding. However, the company should not have a problem getting construction finance from private banks. He said that it is too soon to take a call on ownership changes.

Check Out - Shares pledged by DB Realty promoters