Sunteck Realty rises as board approves investment of up to $20 mln in WOS

Sunteck Realty added 1.36% to Rs 392.20 after the company announced that its board has approved an investment of approximately $10 million to $20 million in its wholly owned subsidiary (WOS), Sunteck Lifestyle International (SLIPL).

SLIPL, incorporated as a private company limited by shares in Mauritius on 25th October 2013, primarily serves as an investment holding company.

The investment will be made for further funding in entities involved in the existing Dubai Project. According to the companys exchange filing, the investment will be structured through equity, preference shares, convertible securities, or debt, and will be infused in one or more tranches, based on the funding requirements for the Dubai Project. The infusion is expected to take place over the next 24 months.

As the transaction is between Sunteck Realty and its wholly owned subsidiary, it qualifies as a related party transaction but will be conducted on an arm's-length basis. The company also clarified that none of its promoters, promoter group, or group companies have any interest in this transaction.

SLIPL will remain a wholly owned subsidiary of Sunteck Realty following the investment.

The official announcement was made on Wednesday, 26 March 2025, after market hours.

Sunteck Realty (SRL) is one of India's leading luxury real estate developers. The company focuses on a city-centric development portfolio of about 52.5 million square feet spread across 32 projects.

The company reported a consolidated net profit of Rs 42.52 crore in Q3 FY25 as against net loss of Rs 9.73 crore in Q3 FY24. Revenue from operations stood at Rs 161.76 crore in the December 2024 quarter, registering a growth of 281.06% YoY.

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