The counter rose to a high of Rs 409 as against Rs 400.45 on the National Stock Exchange.
According to a release, DLF Cyber City Developers raised the funds through private placement of listed, secured and redeemable non-convertible debentures at an annual coupon of 6.7 per cent with the securities maturing in September 2024.
The debentures have been assigned an AA/Stable rating by CRISIL and will subsequently be listed on the BSE Limited’s wholesale debt market.
The funds will be used to refinance existing debt and will lead to interest savings, the company said, adding that this marks its debut into the listed debt capital market and would widen its investor base.
“Our endeavour is to reduce the overall cost of our debt, the successful placement of the NCDs is a resonant endorsement of DLF’s commercial portfolio. The funding sets a benchmark for AA/Stable Rated Listed NCDs in the real estate sector. It demonstrates the continued trust and faith that investors have in DCCDL platform and we remain committed to creating long-term value for all our stakeholders,” reports quoted Vivek Anand, Group Chief Financial Officer, DLF as saying.
Taking advantage of the prevailing low interest rates, the company is also in the process of restructuring existing loans with a target of saving Rs 300 crore annually.
