New Delhi: Realty firm Puravankara Ltd has sold a 19-acre land parcel in Hyderabad for Rs. 475 crore to pharmaceuticals company Hetero group as part of its strategy to monetise assets and cut debt. Bengaluru-based real estate developer Puravankara Ltd had bought this land way back in 2007-08 for Rs. 403 crore. “We have completed the exit of investment in 19.19 acre of land asset held in our wholly owned subsidiaries for Rs. 475 crore. This is in line with the company’s strategy to monetise assets,” Puravankara Ltd managing director Ashish Puravankara told news agency Press Trust of India.
The proceeds of this transaction would be largely utilized for reduction of net debt which is currently around Rs. 2,300 crore, he added.
Puravankara said the company is in talks with land owners for forming partnership to develop projects in the Hyderabad property market that has a huge potential.
The company has already launched housing projects on 20 acres of land parcel in Hyderabad and is also constructing commercial projects on over three acres of land.
“We are targeting to launch projects on additional 50-100 acres through joint ventures (JVs) and joint development agreements (JDAs),” he said.
Puravankara Ltd is a leading real estate company in India, with presence in Bengaluru, Kochi, Chennai, Coimbatore, Hyderabad, Mysore, Mumbai and Pune.
The company has over 20 million square feet of projects under development with additional about 80 million square feet in projected development over the next few years.
Puravankara posted a 15 per cent increase in net profit at Rs. 20.09 crore for the quarter ended December as against Rs. 17.43 crore in the year-ago period. Revenues fell to Rs. 277 crore in the third quarter of this fiscal year from Rs. 385 crore in the corresponding period of the previous year.