Sunteck Realty to raise Rs 500 cr through a QIP issue

Sunteck Realty Ltd (SRL), will raise Rs 500 cr through a qualified institutional placement (QIP). According to Sunteck managing director, Kamal Khetan, the company intends to take advantage of the current market-downturn and the resulting price correction in order to expand business. “There are several great acquisition opportunities that are available today at very attractive pricing. We have funds available to expand the business by utilising this opportunity to acquire some very profitable projects,” Khetan said.

The company also announced it first quarter results for FY10 wherein the total income increased at Rs 88.58 million – a whopping increase of 309% over the same period last year. The company’s profit from operations before tax was Rs 42.4 million, which was an almost three-fold increase of 284% compared to last year. Its net Profit after Tax stood at Rs 32.3 million and earnings per share (EPS) was Rs 2.84 (not annualised).