Piramal Enterprises Limited has raised Rs 1,750 Crores fund via preferential allotment of Compulsory Convertible Debentures (CCDs) to Canadian institutional investor, Caisse de dépôt et placement du Québec (CDPQ). The compulsory conversion of CCDs into equity shares will commence within 18 months from date of allotment.
CDPQ, an existing investor with PEL, had also participated during PEL’s earlier capital issuance as the anchor investor, making an investment of $ 175 million out of the total issue size of $750 million. Further, CDPQ’s real estate subsidiary, Ivanhoé Cambridge, has made a commitment of $250 million towards a co-investment platform with PEL to offer a long-term equity to blue-chip residential developers.
Ajay Piramal, Chairman, Piramal Enterprises Limited said, “CDPQ, the marquee global investor’s long-standing partnership with Piramal Group, and its further investment in the Company reaffirms the strength of our business model and long-term growth potential. This infusion of funds will strengthen our balance sheet and also enable us to tap both organic and inorganic growth opportunities that continue to emerge in the current market dynamics across the sectors and the markets that we operate in.”