Announced Fri, 5 Jun · 17:18 IST

Addendum Agreement to sell and MOU for transfer of Management rights pertaining to SAB Mall, NOIDA (U.P.).

Core Business DivestedStrategic Transactions View source PDF

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AI summary

Steel Strips Infrastructures Ltd has executed an addendum to its earlier agreement to sell SAB Mall in NOIDA. The company has received the balance consideration of Rs. 2.25 Crore (Rs. 1.25 Cr sale consideration from SMC Enterprises Pvt Ltd and Rs. 1 Cr for management rights from sister concern Shubham Properties Pvt Ltd), transferred management rights, and handed over title documents to the buyer. The Sub-Lease Deed is pending clearance of NOIDA Authority dues, with expected completion by August 10, 2026. Critically, SAB Mall contributed 97.93% of the company's revenue (Rs. 136.03 Lakhs) in FY26, and nil to net worth being loss-making. Proceeds will be used to pay off company liabilities. The buyers are unrelated to the promoter group.

Likely market impact

This is effectively a sale of nearly the entire revenue-generating business of the company, leaving shareholders with a near-empty shell whose proceeds (Rs. 2.25 Cr) are earmarked for debt/liability repayment. Investors should view this as a significant divestment event that could materially reduce future revenue and may trigger questions about the company's going-forward business plan.