IL&FS Puts 494 Acre Land Parcels On Block
Road construction takes place near the IL&FS building in Mumbai. (Photographer: Abhijit Bhatlekar/Bloomberg News)

IL&FS Puts 494 Acre Land Parcels On Block


Debt-ridden IL&FS Group has put on block nearly 494 acres of land parcels across three states including Telangana, Andhra Pradesh and Uttar Pradesh, held by its subsidiary Hill County Properties.

IL&FS, through its group firms IL&FS Township and Urban Assets and IL&FS Engineering and Construction Company Ltd. holds a total of 80 percent equity stake in HCPL.

While IL&FS holds 9 percent, the other two firms hold 40 percent and 31 percent stake, respectively in HCPL.

The company has appointed Jones Lang LaSalle Property Consultants to assist the potential transaction.

Hill County Properties houses various land parcels and development rights for properties aggregating to 494 acres spread across six sites including three in Hyderabad (437 acres) and one each in Vijayawada and Visakhapatnam and Meerut.

The company has invited expressions of interest from interested parties for a potential equity stake divestment.

The Group's fund-based outstanding debt was Rs 94,216 crore as of Oct. 8, 2018.

The Uday Kotak-led board of the IL&FS group, as part of the resolution process has initiated the sale of several group assets including education, waste management, technology, real estate and key international assets.

The group has recently received 14 binding financial bids of around Rs 13,000 crore for 10 domestic road assets.

On Aug. 28, the Mumbai bench of the National Company Law Tribunal cleared the sale of seven operating wind energy Special Purpose Vehicles (of the IL&FS Group) to ORIX, Japan for an equity value of approximately Rs 593 crore.

In addition, ORIX has also agreed to take over the entire SPV debt totalling around Rs 3,700 crore.

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