Emaar MGF expects to launch $1.7 bn IPO early January

Emaar MGF expects to launch $1.7 bn IPO early January

New Delhi: Real estate developer Emaar MGF on Monday said it is expecting its initial public offer to hit the capital market by January next year to raise $1.7 billion.

“We are leaving it at the good hands of the authority, but we are expecting the IPO to happen early January," Emaar Properties chairman Mohamed Ali Alabbar told reporters here on the sidelines of India Economic Summit.

Alabbar said Emaar MGF, a joint venture of Dubai-based property developer Emaar Properties PJSC and India’s MGF Developments Ltd, would be raising about $1.7 billion through dilution of 10% stake.

He said the company is looking beyond real estate to do business in India.

“There is a huge opportunity in India beyond real estate, such as education and hospitality. We look at these opportunities," he said.

Asked about the company’s investment plans in India, he declined to comment. Also, he refuted claimers that most of the company’s land bank is agricultural land.

“Wherever we are, we do not touch the agricultural land," he added.

Emaar MGF has filed the draft prospectus for the issue with SEBI in late September.

The global co-ordinators and book running lead manager to the issue are Enam Securities Private Ltd and DSP Merill Lynch Ltd.

The book lead managers are Citigroup Global Markets India Pvt Ltd, Kotak Mahindra Capital Company Ltd, HSBC Securities and Capital Markets (India) Pvt Ltd, JP Morgan India Pvt Ltd and Goldman Sachs (India) Securities Pvt Ltd.