DLF expects to close GIC deal by Dec; Rs 13,000 crore infusion by Feb

Realty major DLF expects the sale of its promoters' stake in its rental arm to GIC for Rs 8,900 crore to be concluded by December and infusion of proceeds into the company by February 2018, a top company official said on Saturday. DLF expects infusion of over Rs 13,000 crore into the company, including Rs 10,500 crore from promoters and another Rs 3,000 crore from institutional investors to maintain the minimum public shareholding norm. The country's largest realty firm will use this fund to significantly reduce its debt which stands at over Rs 25,000 crore. DLF's public shareholders have approved the GIC deal. GIC Singapore has also received the CCI approval. The final order is awaited after which the closing process will begin. Promoters will receive the proceeds in this calendar year and will infuse funds into DLF by February 2018, he added. In late August, DLF promoters decided to sell their entire 40 per cent stake in DLF Cyber City Developers Ltd (DCCDL) for Rs 11,900 crore. This deal included sale of 33.34 stake in the DCCDL to Singapore's sovereign wealth fund GIC for Rs 8,900 crore and a buyback of the remaining shares worth Rs 3,000 crore by DCCDL. Post this deal, DLF will have 66.66 per cent stake in DCCDL.