DLF vault on land auction buzz

DLF surged 8.23% to Rs. 216.90 on BSE on information that the company has sold 10.8 acres in Gurgaon as part of its efforts to reduce the debt burden.

In the meantime, the BSE Sensex was temporarily up 472.80 points, or 2.95%, to 16,523.90.

On BSE, 17.36 lakh shares were traded the counter as against average volume of 12.43 lakh shares above the past one quarter.

The stock hit a high of Rs. 218.45 and a low of Rs. 205 so far throughout the day. The stock hit a 52-week high of Rs. 397.35 on 4 October 2010. The stock strike a 52-week low of Rs. 173.40 on 17 August 2011.

The large-cap stock had outperformed the market above the past one month till 26 September 2011, gaining 13.96% compared with the Sensex’s return of 1.28%. The scrip had also outperformed the market in past one quarter, going down 7.44% as against 12% decline in the Sensex.

The country’s biggest real estate solid in terms of market capitalization has equity capital of Rs. 339.60 crore. Face value per share is Rs. 2.

DLF has allegedly sold 10.8 acres in Gurgaon to a Dubai-based Indian investor for Rs. 280 crore.

The company is also in talks with other investors to sell another 20 acres in Gurgaon, which is projected to fetch around Rs. 400 crore.

DLF’s debt stood at Rs. 21524 crore as on 30 June 2011. The company plans to decrease this by Rs. 7000 crore this fiscal, reports added.

On an amalgamated basis, DLF’s net profit fell 12.8% to Rs. 358.36 crore on 20.6% raise in net sales to Rs. 2445.82 crore in Q1 June 2011 over Q1 June 2010.