Realty firm Brigade plans to raise Rs 750 crore additional funds

BANGALORE: Bangalore-based real estate company, Brigade Enterprises has sought shareholders’ approval to raise Rs 750 crore of additional funding. The money will be raised through various instruments such as global depository receipts (GDRs), American depository receipts (ADRs), foreign currency convertible bonds (FCCBs) or via placement with qualified institutional investors.

In a note to shareholders, ahead of the annual general meeting on July 23, the company said, “The money will be used to fund the construction cost of ongoing and new projects, acquisition of land, repayment of debts, augmentation of working capital, investment opportunities and for other general corporate purposes.”

“We will take resolution of Rs 750 crore but will only raise around Rs 350-400 crore in the first tranche,” said RJ Shama Sunder, general manager, finance, Brigade Enterprises.

The realty firm, which primarily focuses on development of residential units in South India, is also seeking shareholder approval to list its stock on the London, Singapore, Luxembourg and New York Stock Exchanges. “We have an option of looking to raise money from the international market by listing the company on foreign stock exchanges,” said Mr Sunder.

Shareholders will be called upon to approve the appointment of KR Srinivas Murthy as one of the directors of the company. Mr Murthy is currently on the boards of CMC, National Stock Exchange of India and

Himatsingka Seide. Brigade shares closed up 1.07% to Rs 137.35 on Thursday.