IREL to bag Rs 437.4cr for sale of IIPL, IRECPL

New Delhi, Jan 29: Indiabulls Financial Services Ltd today said Indiabulls Real Estate Ltd (IREL), will receive Rs 437.4 crore for sale of partial stake in Indiabulls Property Pvt Ltd (IPPL) and Indiabulls Real Estate Company Pvt Ltd (IRECPL), as part of a series of transactions.

IREL also proposes to enter into arrangements with Dev Property Development Plc, a company incorporated in the Isle of Man ('Dev'), whereby Dev shall subscribe to new shares and also acquire a minority shareholding from the company, for the projects.

Additionally, IPPL which is developing Jupiter Mills; IRECPL which is developing Elphinstone Mills; and IIDL which is developing the Raigad SEZ will receive a total of Rs 617.9 crore as fresh equity capital from subsidiaries of Dev, a statement said.

The company has also entered into share purchase and subscription agreements as well as shareholders' agreements in relation to the above and Dev will acquire a minority shareholding in the project companies as mentioned above upon completion of all closing conditions.

Further, Dev has completed an initial public offering of its ordinary shares for a total amount of Rs 1,200 crore and shall be listed on the Alternative Investment Market of the London Stock Exchange Plc.

The transaction is expected to close during the course of next week.

UNI