Ansal Properties and Infrastructure will raise around Rs 650 crore through a qualified institutional placement (QIP) in February 2010, a banker involved in the process told the Financial Express.
The board of the real estate developer had decided to seek shareholders approval to issue equity shares worth up to Rs 1500 crore to institutions, and has now mandated IDFC-SSKI as its lead banker for the 6.5-billion-rupee QIP, the paper said.
"We do not comment on market speculation," the company spokesman said when contacted by the paper.
More India business stories
The funds raised through the QIP would be mainly used to retire the company's debt of 10 billion rupees and fund its Rs 2000 crore megapolis project, the paper said