NEW
DELHI: Realty firm Ansal Properties and Infrastructure Ltd on Friday tied up
with Malaysia's UEM Builders for undertaking construction works in the property
sector and announced an investment of up to Rs 100 crore towards
equity.
Ansal and UEM signed a Memorandum of Understanding to form a JV company-- UEM Builders-Ansal API Contracts Pvt Ltd. To start with, the JV would execute Ansal's projects and is targeting an annual turnover of upto Rs 500 crore in the next two-three years.
"In the Joint venture, UEM Builders will have 60 per cent stake and we will have 40 per cent," Ansal API Director Pranav Ansal told reporters.
When asked about investment, he said both the companies would invest Rs 80-100 crore in the JV as equity in next two years in the agreed ratio. The investment would mainly be for purchasing construction equipment.
UEM Builders, a subsidiary of Malaysia's largest conglomerate UEM Group, undertakes various engineering and construction projects and has established a strong presence in India by constructing 700 km of roads in the country.
"We announce our foray into property development sector in India," UEM Builders Managing Director Dato' Ridza Abdoh said.
Elaborating on the JV, Ansal said: "To start with, the JV will be the contracting company for Ansal's projects. Later, it could take up projects of other developers."
Asked about the expected revenue from this JV, Ansal said: "We are looking at reaching revenue of Rs 400-500 crore a year in next two-three years." He said the JV would help the company in completing its projects in time.
Ansal and UEM signed a Memorandum of Understanding to form a JV company-- UEM Builders-Ansal API Contracts Pvt Ltd. To start with, the JV would execute Ansal's projects and is targeting an annual turnover of upto Rs 500 crore in the next two-three years.
"In the Joint venture, UEM Builders will have 60 per cent stake and we will have 40 per cent," Ansal API Director Pranav Ansal told reporters.
When asked about investment, he said both the companies would invest Rs 80-100 crore in the JV as equity in next two years in the agreed ratio. The investment would mainly be for purchasing construction equipment.
UEM Builders, a subsidiary of Malaysia's largest conglomerate UEM Group, undertakes various engineering and construction projects and has established a strong presence in India by constructing 700 km of roads in the country.
"We announce our foray into property development sector in India," UEM Builders Managing Director Dato' Ridza Abdoh said.
Elaborating on the JV, Ansal said: "To start with, the JV will be the contracting company for Ansal's projects. Later, it could take up projects of other developers."
Asked about the expected revenue from this JV, Ansal said: "We are looking at reaching revenue of Rs 400-500 crore a year in next two-three years." He said the JV would help the company in completing its projects in time.
