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DLF's real estate subsidiary, DLF Cyber City Developers Ltd. (DCCDL), has successfully raised Rs 1,100 crore through the issuance of non-convertible debentures (NCDs) on a private placement basis. This significant financial move was revealed in a recent regulatory filing by DLF. The board of directors at DCCDL has officially sanctioned the allotment of these NCDs, marking a pivotal moment in the company's financial strategy. The securities allotment committee, acting on behalf of the board, has granted approval for the allocation of 1,10,000 senior, listed, rated, secured, redeemable, transferable, and rupee-denominated NCDs. These NCDs bear a face value of Rs 1 lakh each and were issued through a private placement, ensuring that eligible investors have the opportunity to participate.
The total worth of this NCD issue stands at an impressive Rs 1,100 crore. It's worth noting that these NCDs will be listed on the Bombay Stock Exchange (BSE), providing transparency and accessibility to potential investors. The coupon rate associated with these NCDs is set at an attractive 8.25 percent per annum, making them an appealing investment option. Investors can expect these NCDs to mature on August 17, 2033, offering a long-term investment avenue. DCCDL, a significant player in the Indian real estate market, owes its success to the collaborative partnership between DLF and the Singapore sovereign wealth fund, GIC. This strategic alliance has propelled DCCDL to the forefront of the real estate industry. DLF, as the majority stakeholder, holds a commanding 66.67 percent share in DCCDL, while GIC maintains a substantial 33.33 percent stake.
One of DCCDL's key roles is the stewardship of DLF's valuable rental assets, which encompass a diverse range of properties that include office spaces and shopping malls. These assets collectively span a vast area, encompassing approximately 40 million square feet. Impressively, they generate an annual rental income that surges to the tune of around Rs 4,000 crore. In the dynamic real estate landscape of India, DCCDL is a prominent player with an impressive portfolio that includes office spaces and retail properties. As it continues to grow and evolve, the issuance of these NCDs serves as a strategic financial move to support its ongoing ventures and further strengthen its market position. The successful placement of these NCDs underscores the confidence investors have in DCCDL's prospects and future endeavours.
In conclusion, DLF's subsidiary, DCCDL, has taken a significant step forward by securing substantial funds through the issuance of NCDs. This financial infusion is poised to empower DCCDL to pursue its strategic objectives and play an even more influential role in India's real estate sector. The support from investors and the strategic partnership with GIC are pivotal elements contributing to DCCDL's ongoing success and growth.
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