As per reports, the luxury residential and commercial property arm of the leading multinational conglomerate Adani Group, Adani Realty is in talks for a merger with Mumbai-based DB Realty.
Adani Realty Merger with DB Realty
As per the report, after the merger it would be renamed as Adani Realty and what is said to be one of India’s largest real-estate deals and is likely to pave way for Adani Realty’s listing on the bourses.
The merger deal would clear the decks for the back-door listing of Adani Realty on the stock exchanges. Adani is likely to infuse more funds into DB Realty, which would result into a fresh equity issuance to new investors. This comes after DB Realty’s talks with Godrej Properties did not go forward.
DB Realty’s projects in the financial capital, the portfolio comprising over 100 million square feet and 628 acers of prime property is spread across Mahalaxmi Racecourse, BKC and near ITC Grand Maratha Hotel at Andheri.
As per the report, the DB Realty already tied up with Adani GoodHomes in a BKC project.
The BKC residential project by DB Realty is worth more than Rs 3,500 crore. From nearly two dozen projects mostly in Mumbai, DB Realty is expecting a surplus of around Rs 65,000 crore.
DB Realty in Need of Funds Infusion for High-end Projects
For its ongoing high-end projects, DB Realty requires major funds infusion and Adani Realty is said to be a suitor.
Speaking of the numbers, the market-cap of DB Realty is close to Rs 2,500 crore and the counter has been witnessing 100 per cent delivery in daily trading on the stock exchanges for the past several weeks.
Promoters led by the Vinod Goenka family, Balwa family and a few others put together own close to 69 per cent stake in DB Realty.
Speaking of Adani Realty, there are three high end projects in Mumbai which include an ongoing site at Ghatkopar, one each in the westerns suburbs and in central Mumbai, the report added.
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