Indiabulls Real Estate
announced late Tuesday that it has finalized the strategic sale of several assets to reduce its debt.
Shares of the company are trading higher by 2.6% in opening trade.
The company stated that to embark on a clear and simple path to achieve ZERO net debt in the current financial year through strategic divestment of its stake(s) in certain commercial and leasing business asset(s), Indiabulls Real Estate Limited and its certain subsidiaries, have agreed and finalized with entities controlled by The Blackstone Group Inc., which is a globally renowned real estate private equity investor, to divest their entire direct/indirect stake in the following:
(a) existing JV cos with Blackstone, namely Indiabulls Properties Private Limited and Indiabulls Real Estate Company Private Limited (both owning commercial assets at Lower Parel, Mumbai), Yashita Buildcon Limited and Ashkit Properties Limited (both owning commercial assets at Udyog Vihar, Gurugram)
(b) the commercial assets/development at Worli Mumbai, it’s rights/stake in K.G. Marg, New Delhi and Sector 104 & 106, Gurugram
The said assets will be sold at an aggregate equity value of ~Rs4,420cr, subject to closing adjustments.
The company added that subject to execution of agreements and customary closing conditions, the proposed divestment is expected to be completed very soon.