MUMBAI: Realty developer Lodha Group has repaid debt worth Rs 825 crore it had raised by issuing non-convertible debentures in early 2012. Investors of these privately-placed debentures included retail investors and large institutions such as the Citigroup, Kotak Mahindra BankBSE 0.61 % and Deutsche Bank.
"We have paid the last set of our NCDs from internal accruals and surplus generated through sales at our ongoing projects. In the past 18 months, we have generated sales worth Rs 13,000 crore through these projects," said Abhinandan Lodha, deputy managing director, Lodha Group.
In 2012, the developer's NCD issue totaling Rs 825 crore, was one of the largest fund raising exercise attempted by any real estate developer in the backdrop of sluggish sales and tight liquidity conditions. Slower sales owing to unaffordable property prices continue to keep the liquidity situation tight for most realty developers even now. The developer had raised this debt to buy back debentures issued to Deutsche Bank in 2007, according to media reports.