Monday, July 23, 2007

HDIL Listing

MUMBAI: Shares of Housing Development and Infrastructure Ltd will start trading on the stock exchanges Tuesday. The company has fixed the issue price at Rs 500.

The company raised around Rs 1,485 crore through its 100% book built initial public offer of 2.97 crore equity shares of Rs 10 each.

The IPO was subscribed 6.6 times.

The issue also had a greenshoe option of up to 45 lakh shares.

The company has land reserves of 112 million square feet, of which 70% is owned by the company itself. Around 93.1 million square feet, or 82.8%, of its land is in Mumbai.

HDIL is in the business of real estate development including residential, commercial and retail projects, slum rehabilitation and land development.

The company intends to acquire further land and land development rights in order to facilitate its expansion and diversification from the issue proceeds.

The company is also constructing and developing residential, commercial and retail projects in Palghar, on the outskirts of Mumbai, and Hyderabad and Kochi.

HDIL is part of the Wadhawan group, formerly known as the Dheeraj group. The company's turnover from sale of projects, developed land, and land development rights for the year ended March 31, 2007 was Rs 1204.19 crore and net profit Rs 548.17 crore.

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