Unitech In Search Of Telecom Partner

Real estate tycoon Unitech Limited declared that it was planning to sell a 26% stake in its telecom arm.
Mr. Sanjay Chandra, managing director of Unitech said, “We are planning to sell a 26% stake in the telecom operations”. However, he did not detail on the potential buyer.
Further he said that Unitech is also planning to raise one billion dollar from private equity funds over the next year, including three hundred fifty million dollars for hotels and additional funds for its Mumbai projects.

Unitech has been in talks with telecom companies such as the US-based AT&T, South Africa’s MTN, Italy’s Telecom Italia, Norway’s Telenor Group, and Spain’s Telefonica SA.
In January, Unitech’s received a pan-India telecom license to offer mobile services across all the twenty-two telecom circles.

The real estate firm has received 4.4 megahertz of initial spectrum, or radio waves, in the 1800 megahertz GSM band for five circles.

The five circles are Karnataka, Andhra Pradesh, Orissa, Kerala and Tamil Nadu. The firm plans to roll out services in Tamil Nadu in the next six months.
Chandra said Unitech would invest four thousand crore rupees in the hospitality business over the next five years.

Mr. Chandra said, “We have planned to develop 35 hotels, comprising about six thousand rooms, in the next five years across the country”.

In previous financial year, Unitech’s net profit rose 27% to Rs 1,661.86 crore from Rs 1,305.83 crore in the previous financial year. Total income grew 26% to Rs 4,280.11 crore in 2007-08 from Rs 3,388.09 crore in the previous fiscal. The board, in its meeting held today, recommended a dividend of 12.5% for the FY 2007-08.

3 Comments

  1. Posted July 1, 2008 at 5:22 am | Permalink

    Real estate major Unitech Ltd is in final stages of negotiation with Lehman for a $500-million PE investment in its two commercial projects in Mumbai. The two sides have signed a non-disclosure agreement. According to sources, the investment may come into two SPVs floated by Unitech for the projects in Santa Cruz, and Lehman could pick up stake in the SPVs. Unitech is planning to sharpen its focus in the Mumbai market over the new two years. Unitech already has a land bank of 350 acres in Mumbai and in next two years the financial hub is expected to contribute more revenue for the company than the National Capital Region.Both the Mumbai projects would have a combined developable office space of 2 million sq ft in the initial phase.For more view- realtydigest.blogspot.com

  2. Posted July 19, 2008 at 5:25 am | Permalink

    India’s second-biggest property firm, Unitech, has scrapped plans to list a US$600 million ($824 million) real estate investment trust here.Its big rival, DLF, which is India’s biggest developer, did likewise in March, announcing it would delay its listing plans.

    However, Indiabulls Properties Investment Trust went ahead and listed last week, only to be disappointed.

    It raised less than what was hoped for in the IPO despite extending its offer deadline by a day in hope of attracting more retail investors. Its units then dropped 10 per cent on their debut last week and then needed to be supported by the IPO manager Deutsche Bank on day two of trading.

  3. Posted July 31, 2008 at 5:33 am | Permalink

    But if we see the unitech level it is only working on the real estate development level which is going to work on the full swing at every where.

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  1. […] rupees in cash and bank balances as of 31st March 2008. Mr. Sanjay Chandra, Managing Director, Unitech Limited, said, “This performance is a outcome of the high growth plans that the company has been pursuing […]

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