DLF revives Singapore REIT IPO - sources

MUMBAI (Reuters) - Developer DLF Ltd will revive and enlarge an initial public offer of its property trust in Singapore because it believes market conditions have improved, two people close to the development said on Monday.

Earlier this year, India's most valuable property firm had shelved a planned $1.5 billion IPO for its real estate investment trust (REIT), scheduled for the first three months of 2008, on account of volatile market conditions. At the time, a source had said it might consider a private placement instead.

"The markets are slightly better than before, so we plan to update the IPO papers in Singapore by month-end or next month," one source said.

"The size will be more than $2 billion -- possibly the same size as the India IPO," the first source said.

DLF had raised $2.25 billion in its IPO last July, which at the time was India's biggest-ever IPO.

"We are looking forward to doing it some time next month," said the other source, who also has direct knowledge of the deal.

A spokesman for DLF declined comment.

The second source said Symphony Capital, a private equity firm, had already invested $450 million in the DLF Assets, which is to be listed in Singapore as a REIT, in a private placement.

DLF's founders had also put 12.8 billion rupees ($305 million) rupees into DLF Assets, the source said.