New Delhi, November 16, 2007 DLF Limited, India’s largest real estate company, has attracted participation of private equity real estate funds in its township projects by diluting 49% equity stake at a premium, in seven residential projects to a Merrill Lynch & Co entity for a consideration of Rs 1481 crore.

The mid-income housing projects, located in Chennai, Banglore, Kochi and Indore would get fully developed in about 7 - 8 years time frame.

In a related but separate transaction, DLF has also diluted 49% of its equity stake at a premium, in another middle-income housing project in Panchkula, Haryana to Brahma Investments, for a consideration of Rs 194 crore.

Speaking on the development, Mr T C Goyal, MD, DLF Ltd, said, “as a part of its strategic objective, DLF continues to remain focused on keeping its net economic interest in homes business to a ten year development horizon. Accordingly, these two transactions shall help DLF unlock its investments in land resource for the eight projects and also help in increasing rate of return to DLF shareholders. Besides resulting in positive NAV accretion for DLF, the transactions would provide good returns for the PE investors.”

Mr Timothy Grady - MD & Head Global Commercial Real Estate Asia Pacific, Merrill Lynch said "we are delighted to partner DLF for their focused expansion in the residential segment. This partnership and these projects reflect our continued support and belief in India.”

About DLF Limited

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