Realty firm Puravankara has sold a 19 acre land parcel in Hyderabad for Rs 475 crore to pharma company Hetero group as part of strategy to monetise assets and cut debt.
Bengaluru-based developer 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 MD Ashish Puravankara told PTI.
The proceeds of this transaction would be largely utilised 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 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 a commercial projects on over 3-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 sq ft of projects under development with additional about 80 million sq ft in projected development over the next few years.
Puravankara posted 15 per cent increase in its 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 from Rs 385 crore in the corresponding period of previous year.
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