Cash-strapped real estate developer Parsvnath Developers is planning to raise Rs 200 crore by selling stakes in its projects to private equity investors, said an executive close to the development.
The company is in talks with leading PE funds such as Red Fort Capital and SUN-Apollo for the same, the executive said.
According to the executive, Parsvnath is raising money to complete six of its projects and repay its debt. The projects are in Delhi, Noida, Ghaziabad and Chandigarh. Currently, the company has a total debt of Rs 1,500 crore.
Last year, Parsvnath raised Rs 115 crore from Red Fort Capital in two tranches to complete the luxury residential project La Tropicana in Delhi. The company sold its shares to raise Rs 168 crore in the previous financial year.
Parsvnath had earlier said it planned to cut its debt by Rs 520 crore in the next two years.
Source: Business Standard