MUMBAI: Indiabulls Real Estate has approved a composite scheme of arrangement amongst itself, direct subsidiary Indiabulls Infrastructure and step-down subsidiary India Land and Properties.
The proposed restructuring is being undertaken to facilitate the agreed divestment of Chennai assets in Chennai, in tranches, to the entities controlled by the Blackstone Group, the company said in a regulatory filing.
Earlier this year, Indiabulls Real Estate had entered into an agreement with Blackstone Group to sell its commercial asset in Chennai for Rs 850 crore.
“There shall not be any change in the shareholding pattern of the company, as the company shall not issue any shares or pay any consideration, pursuant to said Scheme,” Indiabulls Real Estate said.
The arrangement scheme is subject to applicable regulatory and corporate approvals.
As per the rearrangement, the operating business including industrial park located in Chennai as One Indiabulls Park of India Land and Properties will demerge into its parent company Indiabulls Infrastructure, a direct subsidiary of Indiabulls Real Estate.
Post the demerger, the remaining business of Indiabulls Park of India Land will merge with Indiabulls Real Estate.
Shares of Indiabulls Real Estate closed with a gain of 8.76 per cent at Rs 90.65 on BSE.