The Indian Hume Pipe Company Limited (IHPL) has successfully sold its freehold land located at Venkatala Village, Yelahanka, Bengaluru, Karnataka, admeasuring 40,875.668 sq.mtrs. (4,39,982 square feet) to M/s. Godrej SSPDL Green Acres LLP for a total sale consideration of ₹559 crores (Rupees Five Hundred Fifty Nine Crores only). The sale deed was executed and registered on 21st March 2025, and the entire sale consideration has been received by the company.

Background and Transaction Overview

In its earlier intimation dated 19th March 2025, Indian Hume Pipe had notified the stock exchanges about the proposal to sell its freehold land located at Venkatala Village, Yelahanka, Bengaluru, Karnataka. This land, which does not constitute any unit, division, undertaking, subsidiary, or associate company of the listed entity, was sold in line with the company’s strategy to monetize non-core assets and strengthen its financial position.

The sale deed was executed and registered on 21st March 2025, completing the transaction. The entire sale consideration of ₹559 crores has been received from the buyer, Godrej SSPDL Green Acres LLP, a renowned player in the real estate industry. It is pertinent to note that Godrej SSPDL is not part of the promoter group or group companies of Indian Hume Pipe.

Compliance with SEBI Regulations

Indian Hume Pipe has disclosed the sale as per the guidelines set forth by Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Additionally, details pursuant to SEBI Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated 13th July 2023 and SEBI Master Circular No. SEBI/HO/CFD/CFD/PoD2/CIR/P/0155 dated 11th November 2024 have been provided.

Key Details of the Sale

1. Land Area: 40,875.668 sq.mtrs. (4,39,982 sq.ft.) located at Venkatala Village, Yelahanka, Bengaluru, Karnataka.
2. Sale Agreement Date: Sale deed was executed and registered on 21st March 2025.
3. Consideration Received: The company has received ₹559 crores as full sale consideration from Godrej SSPDL Green Acres LLP.

Transaction Does Not Qualify as Related Party Deal

The transaction has been confirmed as not falling under the category of related party transactions, as Godrej SSPDL Green Acres LLP is not a part of the promoter or promoter group. Furthermore, this sale of land does not meet the threshold limits of “Undertaking” or “Substantially the Whole of the Undertaking” as defined under Section 180(1)(a) of the Companies Act, 2013. Therefore, Regulation 37A of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, is not applicable to this transaction.

Rationale Behind the Sale

The decision to sell the freehold land aligns with Indian Hume Pipe’s ongoing efforts to optimize its asset base and enhance shareholder value by unlocking capital from non-core assets. The proceeds from the sale will likely be utilized to strengthen the company’s financial position and support future business growth.

Details of the Buyer – Godrej SSPDL Green Acres LLP

M/s. Godrej SSPDL Green Acres LLP is a joint venture between Godrej Properties Limited and SSPDL Limited, engaged in developing real estate projects across India. The firm has gained prominence in the real estate sector due to its reputation for delivering quality residential and commercial projects.

Compliance with SEBI Guidelines and Circulars

Indian Hume Pipe has provided requisite details under:

• SEBI Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated 13th July 2023.
• SEBI Master Circular No. SEBI/HO/CFD/CFD/PoD2/CIR/P/0155 dated 11th November 2024.

Summary of Key Points

• Land Area: 40,875.668 sq.mtrs. (4,39,982 sq.ft.)
• Sale Consideration: ₹559 crores received
• Buyer: Godrej SSPDL Green Acres LLP
• Sale Completion Date: 21st March 2025
• Regulatory Compliance: SEBI LODR Regulations followed

Impact on Financials

Although the sale does not contribute to turnover, revenue, or net worth as it involves the sale of a non-core asset, the proceeds from the transaction will enhance the company’s financial position and liquidity.

Conclusion

The successful sale of land by Indian Hume Pipe to Godrej SSPDL Green Acres LLP for ₹559 crores marks a significant step in the company’s strategy to optimize its asset portfolio. The transaction was executed in compliance with all relevant SEBI regulations, ensuring transparency and protecting shareholder interests. The funds raised through this transaction are expected to strengthen the company’s financial position and support future growth initiatives.

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