Omaxe sells 19.35 acre land at Vizag for Rs 112cr

Realty firm Omaxe has sold its 19.35 acres land at Vishakhapatnam for Rs 112 crore as part of its plan to divest non-core assets and focus on completion of the existing projects.
In a filing to the BSE, Omaxe said the company has exited from the Vizag project at Rs 112 crore.
When contacted, Omaxe CEO Mohit Goel said: "We are consolidating our business and will be concentrating on 4 regions -- Uttar Pradesh, Punjab, Haryana and Delhi".
The fund raised would be utilised on construction of the existing projects, he added.
Omaxe informed BSE that the company has sold its entire holding of 50,000 equity shares, of Rs 10 each, at Rs 525 per share for a total Rs 2.62 crore in wholly-owned subsidiary Finishing Touch Properties and Developers Ltd.

The subsidiary owned 19.35 acre of land at Vishakhapatnam, Andhra Pradesh and was proposing to develop a group housing project in colloboration with other fellow subsidiary.

"The collaboration agreement stands cancelled and Finishing Touch Properties and Developers has/is returned/ returning in tranches the collaboration advance of Rs 109.38 crore advanced to its fellow subsidiary. This enables the group to exit from the Vizag project at a total value of Rs 112 crore," the filing added.
Earlier this month, sources had said that the Delhi-based developer was in advance stage of talks to sell its two land parcels at Yamuna Nagar and Visakhapatnam for about Rs 150 crore.

It was selling about 100 acres at Yamuna Nagar in Haryana, sources had said.
Omaxe is currently focusing on completing its ongoing 42 real estate projects - 14 group housing, 18 townships and 10 commercial. It also intends to reduce gross debt, which increased by over 5 per cent to Rs 1,147 crore as on December 31, 2014 as compared to Rs 1,087 crore as on September 30, 2014.