IDFC will acquire an IT park jointly owned by DLF and The 3C Company in Noida for Rs 512 crore. The 1.36 million sq ft IT park, partly occupied by Computer Sciences Corp, is one of the non-core assets DLF was planning to monetise to reduce its growing debt. The two-phase transaction has been approved by the IDFC board. It is slated to conclude early next week. This would be the second transaction for DLF in September.
In the first phase of the investment, IDFC will acquire 40.5% shareholding of Galaxy Mercantile Ltd, a joint venture between DLF (71%) and 3C (29%) that owns the IT park, for Rs 217 crore. The estimated price for acquiring 100% shareholding in the JV is Rs 3,760 per sq ft. The balance 59.5% shares of the SPV will be acquired over 24 months for Rs 295 crore. Of the 1.36 million sq ft, the IT park has rented out 5.83 lakh sq ft and it generates a net operating income of Rs 24.34 crore. Once fully occupied, the project is expected to generate revenues of Rs 59 crore. Currently, DLF has given a loan of Rs 192 crore and, in addition, promoters have invested Rs 178 crore by way of redeemable preference shares.
DLF has also decided to sell the 17.5-acre NTC Mill land in Mumbai, which could fetch over Rs 3,000 crore. Earlier this month, the company had sold a 27.4-acre plot in Gurgaon to M3M for Rs 440 crore. DLF is selling assets to mobilise fresh resources to repay debt of over Rs 21,000 crore. The company has set a target to raise Rs 7,000 crore through this route this fiscal year.