DLF in final stages of picking up 20% in Feedback Ventures

NEW DELHI: Real estate major DLF is in final stages of negotiations to pick around 20% stake in Vinayak Chatterjee-promoted Feedback Ventures for anywhere between Rs 40-60 crore. Feedback Ventures is a financial advisory specialising in project development in sectors such as roads, highways, ports and integrated townships.

When contacted, a Feedback Ventures spokesperson confirmed that talks with DLF for stake sale are at an advanced stage. Sources in DLF group indicated Feedback Ventures would largely be servicing its SEZ ventures. DLF is in the process of setting up a $2bn international fund for its SEZ projects.

Declining to give details of the deal, Feedback Ventures spokesperson said various permutations and combinations are being worked out that cannot be disclosed as yet. Sources said the dilution of equity may be to the tune of 20%.

While the promoter group headed by Vinayak Chatterjee holds a majority stake in the company, HDFC, IDFC and SREI International Finance hold minority stake in the company. BILT trading and infrastructure hold 13% and StockTrader, a Swiss entity, holds 11% stake.

Sources said talks are on for DLF to get a seat on the board of Feedback Ventures. Feedback Ventures, however, declined to comment on this issue.

IDFC had bought around 19% stake in the company last year for nearly Rs 40 crore. Interestingly, DLF continues to be one of the oldest and most prominent clients of Feedback Ventures.

Feedback Ventures has been involved in project implementation in sectors like energy, roads and highways, water and waste water, solid waste management, integrated townships, other urban commercial infrastructure projects, like bus terminals and multilevel car parks.