DLF sells stake in JV to US based Realty Fund

July 11, 2009
India’s largest listed property developer, DLF Ltd (DLF.BO), has sold its stake in an equal joint venture with Ackruti City (ACKR.BO) to a U.S.-based real estate fund for more than 2 billion rupees ($41 million), the Economic Times said on Thursday, citing two unnamed DLF executives.
The joint venture is developing two office buildings spread over nine million square feet in the western Indian city of Mumbai. The venture is part of a larger slum rehabilitation project by Mumbai-based realty firm Ackruti, the newspaper said.
DLF had bought the stake in the project more than two years ago and its exit was part of its asset sale programme to raise 55 billion rupees by the end of this fiscal year, it said.
DLF may also receive up to 250 million rupees for the proportionate cost of construction done so far in the project, it said.
In May a DLF executive had said the company aimed to raise 100 billion rupees over the next three years from asset sales to cut its debt. It had a net debt of 139.58 billion rupees at the end of March.
Ref: http://www.indianrealtynews.com/real-estate-india/dlf-sells-stake-in-jv-to-us-based-realty-fund.html