Indiabulls Financial Updates on demerger of the company

Indiabulls Financial Services Ltd has announced about the following:

1. Effective Date for scheme of demerger

Upon satisfaction of the conditions precedent to effectiveness of the scheme of arrangement (Scheme) between the Company and Indiabulls Real Estate Ltd (IBREL) under Sections 391-394 of the Companies Act, 1956, in terms thereof, the Board of Directors of the Company has taken on record December 20, 2006 as the 'Effective Date' for the Scheme.

2. Valuation of real estate assets

Pursuant to the Scheme, the real estate business of the Company has been demerged to Indiabulls Real Estate Ltd. Some of the real estate assets that would be a part of Indiabulls Real Estate Ltd have been valued by Knight Frank, a leading international real estate consultancy Company. Knight Frank has estimated the present value of 100% of the six development projects at Rs 215,690 million. The total present value of Indiabulls Real Estate Ltd's effective ownership in the project Companies undertaking the proposed developments is Rs 151,250 million.

Source : Equity Bulls

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