DLF's Bold Move to Optimize Debts with Rs 1,100 Crore NCD Drive
Realty giant DLF's rental division, DCCDL, raises Rs 1,100 crore through non-convertible debentures to refinance costly debt. The aim is to lower interest expenses, and this move follows approval from DCCDL's Board securities allotment committee. DCCDL continues its growth in rental income, showing a net profit increase during the recent quarter.
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- India
Realty major DLF's rental arm, DCCDL, is strategically utilizing Rs 1,100 crore raised through the issuance of non-convertible debentures (NCDs) to retire expensive debt, according to senior company officials.
On Tuesday, DLF Cyber City Developers Ltd (DCCDL), a joint venture between DLF and Singapore's sovereign wealth firm GIC, announced its Rs 1,100 crore capital raise via NCDs to improve financial flexibility. The allotment of 1,10,000 NCDs at a rate of 6.91% per annum was approved by DCCDL's Board.
Vice Chairman and MD (Rental Business) Sriram Khattar emphasized the strategic treasury reviews aimed at securing better interest rates. This financial move reflects DCCDL's ongoing commitment to debt reduction and optimizing financial performance, as evidenced by its recent increase in net profit due to commercial property income growth.
(With inputs from agencies.)
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