Unitech gains on plan to repay loans to mutual funds

Source :IIFL:Capital Market / 12:31 , Sep 17, 2010


Unitech gained 1.15% to Rs 88.25 at 12:31 IST on BSE, on reports the company will repay all the money it owes to mutual funds for the first time since 2001 after boosting revenue from homes sales.


Meanwhile, the BSE Sensex was up 180.23 points, or 0.93% at 19,597.72.


On BSE, 13.48 lakh shares were traded in the counter as against an average daily volume of 39.96 lakh shares in the past one quarter.
The stock hit a high of Rs 89.10 and a low of Rs 87.90 so far during the day. The stock had hit a 52-week high of Rs 114.90 on 17 September 2009 and a 52-week low of Rs 65.10 on 25 May 2010.


The large-cap stock had underperformed the market over the past one month till 16 September 2010, rising 1.22% compared with the Sensex's return of 7.57%. It had outperformed the market in past one quarter, gaining 24.20% as against 11.19% rise in the Sensex.


The company has an equity capital of Rs 503.57 crore. Face value per share is Rs 2.


Unitech has cut loans from mutual funds to Rs 60 crore and the company expects to repay the rest this month, Managing Director Sanjay Chandra said in an interview to a news agency.


Unitech expects high-end residential properies to account for a quarter of sales in the next couple of years from a fifth now, Chandra said. 


Unitech's average cost of debt has declined to 12%, from a peak of 14% in 2008, Chandra said. The New Delhi-based developer has switched to borrowing from state-run Indian banks that extend loans with longer maturities, Chandra said. The average tenure of its loans has risen to three years from two years during the crisis, he said.


Unitech, which had a peak debt of Rs 10900 crore in December 2008, has reduced liabilities to about Rs 6000 crore, Chandra said. Net debt levels have declined to about Rs 5200 crore, he said. Unitech will generate cash of between Rs 2200 crore and Rs 2300 crore this year after deducting interest costs, Chandra said.
Unitech's consolidated net profit rose 14% to Rs 180.04 crore on 53% surge in sales & other receipts to Rs 828.57 crore in Q1 June 2010 over Q1 June 2009.

Lavasa eyes Rs 2,000-cr IPO

Saturday, September 18, 2010

Source :http://bankfinanceindia.blogspot.com/

Lavasa Corporation, which is building an ambitious five-town Lavasa project in Pune district, on Tuesday filed the draft red herring prospectus with the Securities and Exchange Board of India to raise Rs 2,000 crore through its initial public offering. With around 10 per cent equity dilution the company will be valued at Rs 20,000 crore at the time of listing. The issue is expected to hit the market in November and will help the company reduce debt.


“The issue will help reduce the debt that currently stands at Rs 1,700 crore along with land expansion and project development,” said a source close to the development.


ICICI Securities, Kotak Mahindra Capital, Morgan Stanley India and Axis Bank are the book running lead manager to the issue.


The company plans to complete the first town in Lavasa in 2011 and the second by 2013-14.

D B Realty buys 100% stake in L&T Bombay Developers

SOURCE : B L :MUMBAI:Sep 15,2010

 D B Realty Ltd has acquired 100 per cent stake in L&T Bombay Developers Pvt Ltd, a special purpose vehicle formed by L&T Urban Infrastructure Ltd and Bombay Dyeing and Manufacturing Company, for redevelopment of MIG Colony in Bandra (East).

According to BSE filing, the company has purchased the entire equity shareholding of L&T Bombay Developers from L&T Urban Infrastructure and Bombay Dyeing and Manufacturing Company. 

Corporation reclaims OSR lands worth Rs 50 cr

SOURCE :TNN, Sep 9, 2010, 12.38am IST

CHENNAI: The Chennai Corpoporation on Wednesday took over 23 grounds of land reserved for open spaces in two major IT parks in Guindy. The current market price of the land reclaimed by the corporation is Rs 50 crore.




Mayor M Subramanian, who represents area in the elected council, led a team of officials in establishing the ownership rights of the lands at Olympia Tech Park and Thamarai Tech Park on Jawaharlal Nehru Salai and SIDCO Street respectively in Guindy. Notice boards proclaiming the Chennai Corporation's rights over the lands were installed on the sites.



"The 23 grounds of land will soon be put to public use by providing access to people, raising compound walls, creating walkways, adequate seaters and fountains," the mayor said.



As per development control rules, 10% of any property over 10,000 sq m in area that is developed will have to be reserved as open space. The gift deeds will have to be handed over to the Chennai Corporation through the Chennai Metropolitan Development Authority. "The local body will reclaim all open space reservation lands in the city within a month. There are around 700 grounds worth Rs 1,500 crore," Subramanian said.



In a bid to reclaim more OSR lands, the local body has targetted 96 multi-storeyed buildings that were given building permits recently. Vigilance personnel have been entrusted the task of identifying the lands that are scattered across the city.



In the past two years, 76 OSR lands have been reclaimed by the civic officials, including 16 during the month of July alone. In the last four years alone, the corporation is said to have taken over encroached and OSR lands worth Rs 3,000 crore.








 

Builders accused of selling flats twice, HC orders FIR

  





SOURCE :TNN, Aug 1, 2010,

CHENNAI: The Madras high court has directed the Rajamangalam police in the city to register criminal cases against three persons who had developed a housing project but allegedly sold the flats twice by creating false documents.



Justice CT Selvam, allowing the criminal original petitions of P Srinivasulu of Sowcarpet and B Balaji of Villivakkam, asked the inspector of Rajamangalam to register an FIR against A Ramesh, who claimed to be working in the commercial tax department, his wife Hamsalatha and land owner Ekambaram of Villivakkam.



"The petitioner has sought a direction to the inspector to register FIR on the complaint dated July 1, 2010 lodged by him. A perusal of the petition and on hearing the submissions of the government advocate, this court considers it fit to direct the inspector to register a case, investigate and act in accordance with law," the judge said.



Earlier, S Prabakaran, counsel for the buyers, submitted that Srinivasulu first paid Rs 3.2 lakh towards the undivided share of land, and then paid another Rs 15.5 lakh on various dates for construction of the flat. Ramesh and Hamsalatha, claiming to possess the power of attorney of Ekambaram, executed the sale deed and agreed to deliver the fully furnished flat in a month.



Similarly, the couple had collected Rs 3.2 lakh from Balaji for the undivided share of land, and then another Rs 12 lakh for the flat. Both Srinivasulu and Balaji had raised housing loans from banks.



The flats are is not ready as yet, as they were yet to be provided electricity and water connection, sump, water tank, drainage, compound wall, gate and other essential amenities. While so, in September 2009, an official from Dena Bank pasted a possession notice on the apartment complex, revealing the fact that the property had already been sold to one Sekar and Vijayalakshmi.



The petitioners rushed to the Debts Recovery Tribunal and obtained stay restraining the bank from dispossessing them. Later, when they lodged a complaint with the jurisdictional deputy commissioner of police, it was forwarded to Rajamangalam police station, which refused to register FIR, on the ground that it was civil dispute.



Prabakaran submitted that besides cheating the prospective buyers of the flats and committing breach of trust, the builders had abused and threatened the buyers.