Economy

Indiabulls Real Estate sells 50% stake in 2 office assets for Rs 464 crore in Gurugram

Updated : December 20, 2018 10:52 PM IST

In November, the company had announced signing of a non-binding term sheet to divest 50 percent stake in these two assets having nearly 8 lakh sq ft leasable area.

The company said the closing is expected to take place within the current financial quarter.

Indiabulls Real Estate sells 50% stake in 2 office assets for Rs 464 crore in Gurugram

Indiabulls Real Estate on Thursday said it has sold 50 percent stake in two office assets in Gurugram to global private equity firm Blackstone at an enterprise value of Rs 464 crore.

In November, the company had announced signing of a non-binding term sheet to divest 50 percent stake in these two assets having nearly 8 lakh sq ft leasable area.

In a filing to the BSE, Indiabulls Real Estate informed that it has "entered into definitive transaction document(s) with entities controlled by The Blackstone Group L.P... to divest up to 50 per cent stake in two office assets in Udyog Vihar, Gurugram..., at an aggregate enterprise value of approximately Rs 464 crore".

The company said the closing is expected to take place within the current financial quarter.

Earlier this year, Indiabulls had sold 50 per cent stake in its two prime commercial assets in Mumbai to Blackstone for an enterprise value of Rs 9,500 crore.

Indiabulls has an equal joint venture with Blackstone. The JV has 3.3 million sq ft completed asset with annuity income of Rs 670 crore, while 0.8 million sq ft is under construction with expected rental income of Rs 172 crore.

Moreover, the company in July executed definitive transaction documents with the entities controlled by Blackstone Group by which the company will divest 100 per cent stake in the non-core commercial assets in Chennai.

It earns a rental income of Rs 85 crore from 1.9 million sq ft leased area in 'One Indiabulls Park' project at Chennai.

On rental business, the company had said in an annual report that it would continue to sell owned and completed office properties to investors as it has done with Blackstone. The funds raised would be used to acquire assets.

Recently, Indiabulls Real Estate said it will acquire 140 acre land at Manesar in Gurugram to develop an integrated township and commercial building.

Indiabulls Real Estate reported a 23 per cent increase in its consolidated net profit at Rs 75.91 crore for the quarter ended September 30. Its net profit stood at Rs 61.64 crore in the year-ago period.

Net sales jumped more than two-fold to Rs 1,040.41 crore for the second quarter of this fiscal from Rs 470.77 crore in the corresponding period of the previous year.

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