Transindia Real Estate Ltd. said it plans to divest certain undertakings and subsidiaries to global investment firm Blackstone for about ₹400 crore to augment capital and enhance financial strength.
The divestment includes the sale of a logistics park in Jhajjar, Haryana for an enterprise value of about ₹625 crore and a 10% stake held in other logistics’ assets.
“This transaction will result in significant cash proceeds and provide for growth plans of Transindia Real Estate Ltd.,” the company said.
Additionally, the company would divest 10% stakes held in Malur Logistics & Industrial Parks Private Ltd., Venkatapura Logistics & Industrial Parks Private Ltd., Kalina Warehousing Private Ltd., Panvel Warehousing Private Ltd. and Allcargo Logistics & Industrial Park Private Ltd., for an equity consideration of almost ₹60 crore.
As a result of these divestments, Transindia Real Estate Ltd. would receive more than ₹400 crore.
Earlier, the company had announced divestment of equipment business. Shashi Kiran Shetty, Founder and Chairman, Allcargo Group (Transindia Real Estate had demerged from Allcargo), said, “The divestment of these companies marks an important milestone for Transindia Real Estate Ltd. This transaction aligns with our strategy to build end-to-end capabilities in real estate business encompassing development, leasing and sale of assets.”
“The cash proceeds from this divestment will strengthen our balance sheet and provide the necessary resources for future growth,” he said.
Jatin Chokshi, Managing Director, Transindia Real Estate Ltd., said, “This transaction paves the way for future growth with strength in balance sheet to execute new projects and drive growth across other key opportunities in real estate, particularly in logistics parks.”
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