Transindia Real Estate to get over Rs 430cr from stake sales

Transindia Real Estate (TRE), the real estate company demerged from Allcargo Logistics, has signed a definitive agreement to sell its logistics park at Jhajjar in Haryana at an enterprise value of approximately Rs 636.71 crore.

The deal will help TREL realise substantial value from the divestment and continue to have zero debt, says an official release. "The company has also divested its 10 percent stake in Malur Logistics & Industrial Parks, Venkatapura Logistics & Industrial Parks, Kalina Warehousing, Panvel Warehousing and Allcargo Logistics & Industrial Park for an equity consideration of nearly ₹ 4.55 crore."

As a result of these divestments, TRE will receive over ₹ 433.37 crore as cash proceeds, the release added. "The company will deploy the capital to fuel its growth plans and expand its operations in various locations. The deal will also boost the company’s financial capabilities, paving the way for fresh investments in emerging business growth opportunities."

Shashi Kiran Shetty, Founder and Chairman, Allcargo Group says: “The logistic industry is on the cusp of transformational growth due to the government’s continued focus on logistics infrastructure development for creating an effective infrastructure connectivity. This milestone not only reflects our dedication to quality and innovation but also solidifies our position as industry leaders. TRE will continue to drive logistics infrastructure development to leverage the emerging opportunities with the construction of world class industrial and logistics parks.”

Jatin Chokshi, Managing Director, TRE adds: “Being a key player in the fields of real estate, warehousing and commercial logistics, our focus has always been in developing cutting-edge logistics parks across India. Our infrastructure development initiatives are in line with our vision to develop assets that create value and are customised to meet international standards and specific business requirements. As India is making steady progress in becoming a key global manufacturing hub and third largest economy, we are working towards playing our role to facilitate the journey by developing world-class logistics projects.”

TRE is currently working on plans to build Grade A warehousing space in Malur, Karnataka and exploring potential space in Tamil Nadu and Uttar Pradesh, the release added.