Emaar MGF expects clearance for IPO by Jan '08

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New Delhi, Dec 3 (UNI) Dubai-based Emaar Properties today said it expects clearance for a public issue of shares in its Indian unit 'Emaar MGF' for raising 1.7 billion dollars by January next year.

Emaar Properties, the largest Arab real estate firm, has a 40 per cent stake in Emaar MGF, a joint venture of Emaar Properties PJSC and Delhi-based MGF Development.

''we are expecting the IPO to happen early January to raise 1.7 billion dollars from the share sale in India,'' company's Chairman Mohamed Alabbar told reporters here on the sidelines of the India Economic Summit jointly organised by the World Economic Forum and CII.

According to industry chamber Assocham, India's booming real estate market is likely to receive 30 billion dollars of foreign direct investment (FDI) against its total size of 102 billion dollars in next 10 years with a projected growth rate of more than 30 per cent.

As a result, many foreign real estate firms have been eyeing the Indian market.

At present, the domestic realty market is expected to be of 14 billion dollars, in which the FDI contributions is estimated between 5 to 5.5 billion dollars, Assocham said.

Emaar MGF has filed the draft prospectus for the issue with SEBI in September. The global co-ordinators and book running lead manager to the issue are Enam Securities and DSP Merill Lynch.

UNI

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