India’s DB Realty in Market for PE Funding

Indian real estate company DB Realty is looking to fund projects with private equity capital, Reuters reported Wednesday. The company has said it ‘has “enough headroom” to raise debt for specific projects when required,’ Reuters wrote. No specifics were given about how much the firm planned to raise.

(Reuters) – Indian real estate firm DB Realty said on Wednesday it will look to raise funds via private equity for a couple of its projects.

The company, which has a debt-to-equity ratio of 0.08:1, has “enough headroom” to raise debt for specific projects when required, a spokesman said in a statement to Reuters.

The company, which has loans worth 2.47 billion rupees ($55 million), reported a 19 percent jump in annual net profit earlier in the day.

Shares in the firm gained 6.48 percent on Wednesday to close at 80.55 rupees in a weak Mumbai market, but are down 59 percent since the start of this year.

Earlier this year, four executives from the firm, including two managing directors, were charged over their alleged involvement in a telecoms licensing scandal. They have denied any wrongdoing.

One of the former managing directors, Shahid Balwa, resigned nearly a month after his arrest in February. (Reporting by Swati Pandey; editing by Malini Menon)