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VIP Industries Sells Mumbai Property for ₹40.71 Crore
22 Nov
Summary
- VIP Industries is selling its Mumbai property, VIP House, for ₹40.71 crore.
- The buyer is Kemp & Company, an entity from the promoter group.
- The transaction requires shareholder approval from Kemp & Company.
VIP Industries has finalized a binding agreement to divest its Mumbai property, VIP House, located in the Prabhadevi area. The property is being sold to Kemp & Company, a firm associated with the company's promoter group, for a sum of ₹40.71 crore. This transaction marks a strategic move by VIP Industries to offload a non-core asset.
The sale is proceeding on an 'as-is-where-is' basis, meaning the property will be transferred in its current condition without any further modifications or repairs. Although the deal qualifies as a related-party transaction due to VIP Industries' 1.77% stake in Kemp & Company, the company has stated that it is not material to its overall operations.
Completion of the transaction is contingent upon securing shareholder approval from Kemp & Company. This step is crucial for formalizing the sale and ensuring compliance with corporate governance norms. The sale represents a significant divestment for VIP Industries from its Mumbai real estate holdings.
