Shares of Kolte-Patil Developers added 5 percent in the early trade Thursday as the company is going to raise Rs 193 crore from global investment firm KKR.
"The company has announced that global investment firm KKR has committed Rs 193 crore in Kolte-Patil I-Ven Townships (Pune) (KPIT), a joint venture of Kolte-Patil and ICICI Venture Funds Management Company," company said in press release.
KPIT is developing Life Republic, a 383-acre township located in Pune's IT hub, Hinjewadi.
"KPIT will utilize the funds from this investment to attain financial closure at R1 sector of Life Republic, meeting working capital requirements and reducing cost of outstanding debt attributable to the development," it added.
Gopal Sarda, Group CEO at Kolte-Patil Developers said, "With our new partnership, we see this landmark project accelerating further to meet the rising aspirations of middle-income home buyers.
"We will utilize KKR'S capital to further expand our focus on efficient execution that we see translating into improved demand from customers and strong project dynamics for all other stakeholders," he said.
The company in its board meeting held on December 27 has approved the resolution for fund raising of Rs 500 crore by various mode, including by issue of NCDs, or any other securities, equity shares and\or other securities convertible into equity.
It has also approved merger of Bellflower Properties, a wholly owned subsidiary with the company, subject to the approval of National Company Law Tribunal and such other regulatory authorities.
At 09:17 hrs Kolte-Patil Developers was quoting at Rs 375.65, up Rs 15.20, or 4.22 percent on the BSE.
Posted by Rakesh Patil
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