GOCL Corporation Limited has informed the Exchange about Update on monetization of land at Yelahanka, Bengaluru (Ecopolis)
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GOCL Corporation's Board has approved the early sale of its approximately 38-acre land parcel at Yelahanka, Bengaluru (known as the 'Ecopolis' project), currently under a Joint Development Agreement with Hinduja Realty Ventures Limited (HRVL). The land is being de-notified from SEZ status and will be sold along with buildings to one of India's top industrial houses for a total consideration of around Rs. 2,261 crores. Of this, GOCL's share is approximately Rs. 815 crores, with the balance going to HRVL for the infrastructure and approvals they put in. The transaction will be completed in tranches over about 6 months and can be extended by mutual consent.
This is a meaningful cash inflow of around Rs. 815 crores for GOCL, which can strengthen its balance sheet and be deployed towards growth, debt reduction, or shareholder returns. The monetisation is happening earlier than expected, and a successful close at the stated value should be viewed positively by investors.