Mutual Funds Commodities Research Tax Planning IPO Our Team Contact Us  
Google
Web www.equitybulls.com
Stock Report

| More

Kolte-Patil completes final tranche payment of Rs. 70 crore for buy-out of ICICI Venture's 50% stake in Life Republic Township Project in Pune

Posted On: 2020-11-27 10:21:00 (Time Zone: Arizona, USA)


Kolte-Patil Developers Limited (BSE: 532924, NSE: KOLTEPATIL; KPDL), a leading Pune based real estate developer, with growing presence in Mumbai and Bengaluru, announced today that the Company has completed the third and final tranche payment of Rs. 70 crore to India Advantage Fund-III (IAF-III) and India Advantage Fund-IV (IAF-IV) managed by ICICI Venture Funds Management Company Limited (ICICI Venture) for the buyout of their 50% stake in KPDL's flagship township project - Life Republic. As indicated earlier, the payment has been largely funded through internal accruals. The current disbursement follows the second instalment of Rs. 70 crore paid out in Nov 2019.

In May, 2019, Kolte-Patil had announced the buy-out of ICICI Venture's stake for a cash consideration of Rs. 210 crore to be paid in three instalments. The Company has now completed all three installments. In addition, 12 acres of land in Life Republic with FSI required to achieve saleable area equivalent to 1.4 million square feet, will be allocated to IAF III and IAF IV upon the project obtaining FSI of 1.0 from the present 0.5.

Following the buy-out, KPDL's economic interest in Life Republic increased to 95% and the company's overall economic interest in its entire portfolio of projects grew from ~60% to ~90%. The Life Republic project resides in an SPV called Kolte-Patil I-Ven Townships (Pune) Ltd. The company has good visibility of cash flow from operations and maintains a healthy balance sheet position - as on September 30 2020, it had a net debt to equity ratio of 0.38 times.

Life Republic, being the company's flagship project spread across ~390 acres, is expected to meaningfully contribute to Company's revenues, profits, cash flows and return ratios in a significant manner over next 10-12 years. Life Republic is already a landmark destination for Pune home buyers, currently home to 11,000 residents and another 10,000 residents could be added in next three years. Since inception till H1FY21, ~6 million square feet of area has been sold at Life Republic. In FY20, sales of 1.05 million square feet were achieved at Life Republic, making it the second consecutive year of ~1msf of sales. In value terms, the combined FY19 and FY20 sales amount to ~Rs. 1,000 crore. The total saleable area at Life republic is ~20 million square feet, based on FSI of 1.0, which is currently incorporated in the project design plans. However, the total FSI potential of the project is 1.7 based on the integrated township norms.

Commenting on this key development, Mr. Gopal Sarda, Group CEO, Kolte-Patil Developers Ltd. said, "The decision to buy-out ICICI Ventures' stake in Life Republic was a clear signal of commitment, prospects and profitability. That the property has acquired critical maturity for accelerated development and returns would far exceed the buyout consideration. Within a year of the buyout of economic interest, the project achieved multi-year sustainability. At Life Republic, the Company generated ~ 1 msf in sales in successive years, monetized one of the sectors (Sector R10) rerating the land bank potential as well as partnered with global real estate developer like Planet Smart City.

Life Republic is another example by the Company of value creation through innovative deal structures with deferred payments. For us, the focus on any business development initiative, remains profitable growth, positive operating cash flows, healthy ROCE and IRR while maintaining the integrity of the Balance Sheet.

Life Republic is the future of integrated, balanced and community-centric gated living in western Pune with best-in-class physical and social infrastructure. The project enjoys strong launch visibility and is attracting growing buyer interest. Besides, Pune is growing in importance as a commercial centre with widening real estate demand from end-users employed in IT, automobiles, manufacturing, biotech and other sectors. The Company will focus progressively on faster approvals, sales, collections and delivery at this project."

Shares of KOLTE-PATIL DEVELOPERS LTD. was last trading in BSE at Rs.210 as compared to the previous close of Rs. 209.85. The total number of shares traded during the day was 18505 in over 713 trades.

The stock hit an intraday high of Rs. 216.75 and intraday low of 207.5. The net turnover during the day was Rs. 3919420.


Source: Equity Bulls

Click here to send ur comments or to feedback@equitybulls.com





Other Headlines:

Antony Waste Handling Cell Ltd updates on business during Q3 FY21

Tiaan Consumer Limited Signs Up as a Beauty Partner for Safe Speed Challenge

R S Software India Ltd posts loss of Rs. 5.11 crore in Q3FY21

NCL Industries Ltd to set up 2000 TPD cement grinding unit

Riba Textiles Limited to expand capacity

United Spirits Limited to sell its stake in Tern Distilleries Pvt Ltd for Rs. 30 crore

Hinduja Global Solutions Limited arm raises stake in HGS Digital LLC to 100%

Adani Green Energy Signs Agreement to Acquire 20 MW Operating Solar Asset for INR 133 cr

Steel Exchange India Limited receives OTS sanction letters from all lenders

DCB Bank Ltd posts Q3FY21 net profit of Rs. 96.21 crore

Vivanza Biosciences Ltd posts consolidated PAT of Rs. 0.16 crore in Q3

Arihant Superstructures Ltd Q3FY21 consolidated net profit at Rs. 1.94 crore

ICRA reaffirms rating of IIFL Finance Ltd, IIFL Home Finance Ltd

Zenotech Laboratories Ltd appoints Mr. Devendra Chandrakant S. Kenkre as CEO

Polycab India Ltd reports Q3FY21 consolidated PAT of Rs. 262.50 crore

JM Financial Ltd posts consolidated PAT of Rs. 180.76 crore in Q3 FY2020-21

Birla Corporation Ltd Q3FY21 consolidated PAT at Rs. 148.42 crores

Sportking India Ltd Q3 net profit zooms to Rs. 30.32 crore

APM Finvest Ltd Q3FY21 net profit jumps to Rs. 6.90 crore

Ultratech Cement Ltd reports jump in Q3FY21 consolidated PAT to Rs. 1584.34 crores

Supreme Industries Ltd Q3FY21 Q3FY21 consolidated PAT zooms to Rs. 312.28 crore

Mahindra Lifespaces achieves residential sales of Rs. 195 crores during Q3FY21 up 70% over Q2FY21

Rossari Biotech Ltd Q3FY21 consolidated PAT up at Rs. 21.60 crore

Vimta Labs Ltd Q3FY21 net profit up at Rs. 8.01 crore

Pudumjee Paper Products Ltd reports loss in Q3FY21

Zydus Cadila receives final approval from USFDA for Liothyronine Sodium Tablets

Tata Power Solar receives the EPC order for INR 1200 Crore from NTPC for setting up of 320MW ground mounted Solar PV project

Pil Italica Lifestyle Ltd Q3FY21 PAT at Rs. 2.02 crore

Apollo Hospitals Enterprise Limited raises funds through QIP at Rs. 2511 per share

Sadbhav Infrastructure Project Limited board to consider issue of NCDs

Wendt India Ltd board declares interim dividend of Rs. 10 for FY21

Kriti Nutrients Ltd Q3FY21 net profit at Rs. 3.56 crore

Jio Platforms Ltd Q3FY21 PAT rises 15.5% QoQ

Reliance Industries Ltd Q3FY21 consolidated net profit jumps to Rs. 13101 crore

IndiGo strengthens regional connectivity, launches Agra as 64th domestic destination

Kewal Kiran Clothing Ltd board declares 2nd interim dividend of Rs. 8

Isgec Bags prestigious orders for Air Pollution Control Equipment

Tata Motors increases passenger vehicle prices from today

Kewal Kiran Clothing Ltd Q3FY21 consolidated PAT at Rs. 10.84 crore

Fineotex Chemical Ltd Q3FY21 consolidated net profit up at Rs. 13.07 crore

Swaraj Engines Posts its Ever Best Q3 Performance

Crompton Greaves Consumer Electricals Ltd Q3FY21 consolidated net profit at Rs. 151.09 crore

Oberoi Realty Ltd posts consolidated PAT of Rs. 286.65 crore in Q3FY21

Gland Pharma Ltd Q3FY21 net profit at Rs. 204.10 crore

Aditya Birla Group flagship Grasim to foray into the Paints Business

OMAX Autos Ltd commences commercial production of new unit

Spark Minda appoints Mr. Biranchi Mohapatra as the CEO for Business Vertical II - Information and Connected Systems

IndiGrid increases distribution to INR 3.10 per unit / Quarter

NTPC to raise Rs. 2,500 crore through private placement of bods

Century Textiles & Industries Ltd posts consolidated PAT of Rs. 32.11 crores in Q3



Website Created & Maintained by : Chennai Scripts
West Mambalam, Chennai - 600 033,
Tamil Nadu, India

disclaimer copyright © 2005 - 2020