Promoters Sell 3.1% Stake in Indiabulls Real Estate
<span style="font-weight: 400;">Realty developer Indiabulls Real Estate’s promoter Sameer Gehlaut has started taking steps to move out as the promoter of the company that he had founded over a decade-and-a-half ago. Gehlaut and promoter group companies of Indiabulls Real Estate have sold around 3.1
Published -
Mar 19, 2021 4:29 AM
Realty developer Indiabulls Real Estate’s promoter Sameer Gehlaut has started taking steps to move out as the promoter of the company that he had founded over a decade-and-a-half ago. Gehlaut and promoter group companies of Indiabulls Real Estate have sold around 3.1 per cent stake in the company in the open market between March 8 and 10, the company said in a regulatory filing. A UK-based fund is believed to have bought the stake in the realty development company through these transactions. However, it could not be ascertained independently. The promoters of the company are reducing their stake ahead of the completion of its merger with Embassy Group. The merger has already received nod from the Competition Commission of India (CCI), the stock exchanges, and the Securities & Exchange Board of India (Sebi). The companies are now in the process of filing a requisite application with the NCLT for its approval. The merger will be a cashless structure as Embassy subsidiaries—NAM Estates (NAM) and Embassy One Commercial Property Developments (NAM Opco)—will swap shares with Indiabulls Real Estate. According to the terms approved by boards of both the merging entities, Indiabulls Real Estate shares are valued at Rs 92.5 per share. Shareholders of Embassy subsidiary NAM will get 6.619 shares of Indiabulls Real Estate for every 10 shares of NAM, while NAM Opco shareholders will get 5.406 shares of Indiabulls Real Estate for every 10 shares in NAM Opco. The combined listed entity will be 44.9 per cent owned by Embassy Group, 26.2 per cent by the existing public and institutional shareholders, 9.8 per cent by existing IBREL promoter group and around 19.1 per cent by the Blackstone group and other Embassy institutional investors. Embassy Group, one of the largest developers in Bengaluru, already holds 14 per cent of listed Indiabulls Real Estate. Following the completion of this merger, the Embassy Group will become the promoter of the combined entity.
Tags : News/Views Promoters Sell 3.1% Stake in I ndiabulls Real Estate