NRI Real Estate and Property Investment in India
 |  WWW.NRIREALTYNEWS.COM
  NRI Real Estate and Property Requirements
Why Invest in India?
Non Resident Indian (NRI) Investment in India
NRIs Investment Issues
Latest NRI News

NRI Repatriation
Editor's Desk
NRI Events in India and Overseas
Investment Faqs
NRI Organisations
NRI in News
NRI Newsletter
Enter your email address:

Rupee, Real Estate Stocks Gain as DLF Issue Storms Market
Tuesday, June 12, 2007

The rush for DLF’s stocks in the opening hours of the IPO on Monday morning confirmed the confidence investors have in the real estate industry, despite talks of an overheated market. 40% of the 175 million shares were mopped up in the first 45 minutes, and the institutional portion (104.4 million shares) of its USD 2.4 billion offering had been fully subscribed within an hour.

The frenzy for DLF stocks had its impact on other real estate stocks, rising overall by 8%. Unitech saw a 4% appreciation, while Parsvnath and Sobha Developers gained by 3%. Shares of Ansal API appreciated the most, climbing up by 7.7%. Lok Housing, Mahindra Gesco and Peninsula Land and Orbit Corporation rose by 2 to 6.5%. DLF’s performance is encouraging other developers like Omaxe and Godrej Properties to go forward with their IPO plans later this year.

The success of the DLF issue has spilled over to the performance of the rupee, based on speculation that global investors would invest as much as USD 700 million in the company’s stocks. The capital inflow will push the rupee up as it did on Monday, by 0.8% to Rs. 40.8025 against the dollar As India’s largest real estate developer, DLF is well established in all verticals through partnerships with Indian and global players.

Its latest tie-up is with rival Unitech to develop a township in Dankuni, Hooghly district, on the outskirts of Kolkata and a Special Economic Zone. Working on a 50:50 revenue-sharing plan and a total investment of Rs.33, 000 crore, the project will cover 5000 acres.

A long-term project spanning 15 years, 2000 acres would be devoted to residential development to accommodate 8 lakh people. Investors can look forward to the IPO from Godrej Properties which will hit the bourses later this year. The company is looking to expand in Chennai, Kochi, the National Capital Region (NCR) and Goa. Godrej has a larger proportion of its portfolio in commercial properties, and a third of it is in residential properties in Mumbai, Pune, Kolkata, Bangalore and Hyderabad.

Related Readings:
Real Estate Giant DLF Forays into Health, Expands in Retail
Real Estate Giant DLF opens IPO in June
DLF to Curtail Land Acquisition

Add to your Social Bookmarks:
ADD TO DEL.ICIO.US ADD TO DIGG ADD TO FURL ADD TO NEWSVINE ADD TO NETSCAPE ADD TO REDDIT ADD TO STUMBLEUPON
ADD TO TECHNORATI FAVORITES ADD TO SQUIDOO ADD TO WINDOWS LIVE ADD TO YAHOO MYWEB ADD TO ASK ADD TO GOOGLE