Shapoorji Pallonji to raise $375 mn via luxurious realty properties
Real Estate

Shapoorji Pallonji to raise $375 mn via luxurious realty properties

Shapoorji Pallonji Group is in discussions to raise $375 million via the sale of luxurious premium realty properties in Dubai as the group deleverages.

The conglomerate is observed enhancing its cash flows after it sold Eureka Forbes and is in the process of marketing Sterling and Wilson, an EPC company that develops solar electric power plants.

The conglomerate is discussing with international investors asking for a reasonable valuation of the residential-cum-commercial property. Some global investors have likely shown interest as discussions are going on. Imperial Avenue is one such luxurious premium property. Shapoorji Pallonji Group plans to raise between $225 million and $375 million via its sale.

The funds raised will be a part of working capital and growth demands. The realty market is on acceleration globally, and the SP group will try to get advantages from this increase. The SP group has had a presence in the Dubai realty market for the past four to five years.

The Shapoorji group of firms had been handling a stretched balance sheet in 2020 after the outbreak of Covid-19, but recent asset monetisation efforts and overall economic recovery have assisted them to get back on track by majorly decreasing the debt burden.

Sterling and Wilson are said to be in sale discussions with bulge-bracket private equity funds, involving Canadian funds like Brookfield and CPPIB, and Indian conglomerates like Adani and Reliance Industries, expecting to reap the advantages of heightened interest in renewable energy in the nation.

Shapoorji Pallonji and Company Private Ltd. (SPCPL) had applied for a one-time restructuring (OTR) program under Reserve Bank of India’s resolution framework for Covid-19 related stress in 2020. Consequently, the OTR plan was successfully executed on March 31, 2021. The moratorium term ended on September 30.

In the first half of this FY, the promoters invested Rs 4,040 crore in the group firms, which was then utilised to repay the inter-corporate deposits (ICDs) extended by SPCPL to these entities, as per the ICRA Ratings. Consequently, SPCPL has repaid Rs 4,040 crore of OTR debt.

Image Source

Shapoorji Pallonji Group is in discussions to raise $375 million via the sale of luxurious premium realty properties in Dubai as the group deleverages. The conglomerate is observed enhancing its cash flows after it sold Eureka Forbes and is in the process of marketing Sterling and Wilson, an EPC company that develops solar electric power plants. The conglomerate is discussing with international investors asking for a reasonable valuation of the residential-cum-commercial property. Some global investors have likely shown interest as discussions are going on. Imperial Avenue is one such luxurious premium property. Shapoorji Pallonji Group plans to raise between $225 million and $375 million via its sale. The funds raised will be a part of working capital and growth demands. The realty market is on acceleration globally, and the SP group will try to get advantages from this increase. The SP group has had a presence in the Dubai realty market for the past four to five years. The Shapoorji group of firms had been handling a stretched balance sheet in 2020 after the outbreak of Covid-19, but recent asset monetisation efforts and overall economic recovery have assisted them to get back on track by majorly decreasing the debt burden. Sterling and Wilson are said to be in sale discussions with bulge-bracket private equity funds, involving Canadian funds like Brookfield and CPPIB, and Indian conglomerates like Adani and Reliance Industries, expecting to reap the advantages of heightened interest in renewable energy in the nation. Shapoorji Pallonji and Company Private Ltd. (SPCPL) had applied for a one-time restructuring (OTR) program under Reserve Bank of India’s resolution framework for Covid-19 related stress in 2020. Consequently, the OTR plan was successfully executed on March 31, 2021. The moratorium term ended on September 30. In the first half of this FY, the promoters invested Rs 4,040 crore in the group firms, which was then utilised to repay the inter-corporate deposits (ICDs) extended by SPCPL to these entities, as per the ICRA Ratings. Consequently, SPCPL has repaid Rs 4,040 crore of OTR debt. Image Source

Next Story
Resources

Hafele launches Platinum Studio in Nagpur

Hafele has expanded its franchise footprint in central India by opening a new Studio Partner Platinum showroom in Nagpur in collaboration with Onkar Furnitech. The studio was inaugurated by Nitin Gadkari, Minister of Road Transport and Highways, along with Padma Gupta, Director – HR & Customer Experience, Hafele South Asia.Located at Sarthak Plaza, South Ambazari Road, Laxmi Nagar, the showroom offers an immersive experience of Hafele’s wide-ranging interior and home solutions. Designed as a hands-on, real-life application space, the studio showcases Hafele’s full portfolio—includi..

Next Story
Resources

Truflo by Hindware wins GPTW honour again

Truflo by Hindware has been certified a Great Place to Work for the fourth consecutive year, reaffirming its commitment to a people-first culture. The certification was awarded by the Great Place to Work Institute following a rigorous evaluation of employee experience, leadership, culture, and HR practices.Known as India’s fastest-growing plastic pipes and fittings company, Truflo has focused on fostering an inclusive, innovative, and growth-driven work environment. The company prioritises employee well-being and professional development, creating a culture where people feel valued and empow..

Next Story
Infrastructure Transport

Ahmedabad’s Rs 1.17 Billion Flyover Opens

A major infrastructure milestone was achieved in Ahmedabad with the inauguration of a new Rs 1.17-billion flyover at Pallav Char Rasta on May 18.Union Home and Cooperation Minister Amit Shah, who represents the Gandhinagar Lok Sabha constituency, unveiled the structure that was expected to ease vehicular congestion for nearly 1.5 lakh daily commuters navigating through the city’s busy Naranpura zone. The flyover, constructed across the 132-feet Ring Road, extended 935 metres in length and spanned 8.4 metres in width. It reached a height of 5.37 metres at the Pragatinagar junction and feature..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?