GIC (Realty) to invest Rs 1511 cr in three subsidiaries of Phoenix Mills

Phoenix Mills announced that the company, GIC (Realty) through it indirectly wholly owned entity viz. Reco Zinnia (RZPL) and each of Phoenix Mills subsidiaries Offbeat Developers (ODPL), Graceworks Realty and Leisure (GRLPL) and Vamona Developers (VDPL) have on 02 June 2021 executed Definitive Agreements.

Pursuant to the execution of the Definitive Agreements, RZPL, shall subject to the terms and conditions agreed to therein, invest Rs.1511 crore in two tranches.

RZPL's first tranche investment will be Rs.1111 crore and second tranche investment will be Rs. 400 crore on an aggregate basis across ODPL, VDPL and GRLPL.

RZPL shall, in the first tranche, acquire 26.44% equity shareholding in each of the said PML subsidiaries viz. ODPL, GRLPL and VDPL through a combination of fresh equity subscription and secondary transfer of equity shares held by the Company in ODPL and VDPL.

Post the completion of first tranche investment by RZPL, the Company and RZPL shall hold 73.56% and 26.44% respectively, of the paid up equity share capital in each of the said PML subsidiaries.

In the second tranche of investment, subject to the fulfilment of the terms mentioned in the Definitive Agreements, RZPL may further increase its stake in the range of 32.80% to 35.91% in the each of the aforesaid PML subsidiaries.

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