Indiabulls to spin-off real estate arm

Indiabulls Financial Services (IBFSL),  has decided to spin-off its real-estate subsidiary, Indiabulls Real Estate.

According to an official release issued today,  all shareholders of IBFSL would be issued shares of Indiabulls Real Estate in the ratio of 1:1 i.e. for each IBFSL equity share of a face value of Rs 2, shareholders will be allotted one equity share of Indiabulls Real Estate also of face value Rs 2.

The shares of the new company will be listed on stock exchanges in India and the new company will hold all the investments made by the group in the real-estate sector, as yet, including  11 acres of Jupiter Mills land in Lower Parel, Mumbai acquired for Rs 276.6 crore and the 7.8 acres of Elphinstone Mills land also in Lower Parel, purchased for Rs 441.75 crore, the release said. 

The company will also own over 115 acres of land for development of a township and housing project in Sonepat, Haryana, the release added.