Godrej Properties gains on new project, buying shares of subsidiary

The company has been appointed development manager for a new project in Mumbai and has acquired shares of Godrej Premium

Godrej Properties has gained around 6% to Rs 263.90 in BSE on being appointed as development manager for a new project in Vikhroli, Mumbai and acquiring the shares of Godrej Premium Builders.
 
Godrej Properties has entered into an agreement with Godrej & Boyce (G&B) to develop a new mixed-use project on the property at Vikhroli, Mumbai. The potential saleable area in this project will be approximately 110,000 square meters.
 
Godrej Properties will act as development manager and will work with G&B on the conceptualisation, design, sales, and marketing of the project. For its services, Godrej Properties will receive a fee equal to 10% of the revenue generated from the development. The costs for design and construction of the development will be borne by Godrej & Boyce in its role as owner-developer while the cost for sales and marketing will be borne by Godrej Properties in its role as development manager.

 

Further, Godrej Projects Development Private Limited (GPDPL), a wholly owned subsidiary of the Company has acquired 49% of the paid-up share capital and entire Debentures of Godrej Premium Builders Private Limited (GPBPL), a subsidiary of the Company, from Madhavi SA Investments LLC and Madhavi Ventures Limited.
 
The stock opened at Rs 256.05 and has hit a high of Rs 268.90 and around 1.5 lac shares have changed hands on BSE and NSE combined, till 9:35 hrs.