IDFC likely to buy DLF’s IT park at Noida
30 Aug 2011
Infrastructure Development Finance Co (IDFC) on Monday said that it is in talks to buy the entire 70-per cent stake of cash-strapped DLF, India's largest real estate player, in an information technology park in Noida, Uttar Pradesh, near Delhi.
"IDFC is in talks with DLF for a business proposal," the financial company said in a filing to the Bombay Stock Exchange (BSE).
The company said that it evaluates opportunities for loan and investments in infrastructure projects from time to time as part of its normal business and opportunities, which "may or may not lead to any deal as aforesaid".
The move is part of DLF's strategy to exit non-core areas and reduce debt. Though the exact valuation of the deal could not be ascertained, reports said DLF is looking to raise around Rs950 crore through the sale.
In a separate filing with the exchange, DLF said, "the asset (IT Park, Noida) is held in a joint venture company through a wholly-owned subsidiary of the company. The subsidiary is exploring various strategic options, including the sale of its holding in the joint venture company."
However it refused to comment on the proposed deal with IDFC, calling it 'market speculation'.
