Info Edge (India) Ltd is set to raise ₹750 crore through issue of securities, by way of Qualified Institutional Placement (QIP), to enhance investment in its real estate portal 99acres.com.

The company, which owns Naukri.com, 99acres.com, Jeevansathi.com, announced that it has reported a net profit of ₹39.8 crore for the quarter ended June 30, 2014, up almost 35 per cent from ₹29.4 crore in the same quarter last year.

Total income for the first quarter of fiscal 2014-15 was ₹144.9 crore, up about 20 per cent, from ₹120.7 crore in the corresponding quarter in the previous fiscal.

The Board has recommended raising fresh funds for ₹750 crore through issue of securities by way of Qualified Institutional Placement (QIP). This will be invested in the organic as well as inorganic growth opportunities in existing business(es), in particular in 99acres.com, the company said.

Chintan Thakkar, CFO of the company, said: “While revenues grew at a healthy rate, the growth in profit after tax (PAT) demonstrates the operating leverage in our business model. This quarter the PAT has also been aided by lower advertising spends in the quarter.”

He added, “As far as the proceeds of the QIP go, we definitely plan to further invest in our real estate vertical 99acres.com, besides other internal business(es) and inorganic opportunities.”

During the quarter, recruitment solutions grew by 15.5 per cent while the real estate vertical grew by 45.4 per cent over the corresponding quarter in 2013-14, the company said.

The shares ended 1.30 per cent lower at ₹693.10 on the BSE on Friday.

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