Hubtown is planning to sell its 50% stake in Mumbai’s Hindoostan Mills property at Prabhadevi. The company is expecting to raise R450 Cr from this sale.
The fund will be used to repay its debt which stood around R1850 Cr as on March’12.
This July, serial entrepreneur C Sivasankaran exited Prabhadevi project by selling its 50% stake to Red Fort Capital for R450 Cr.
In 2007, Hubtown bought the Hindoostan Mills’ land parcel with DLF from the Thackersey family for R 350 Cr. Hubtown was planning to exit this SPV from 2009 itself as the project had been on hold because of the liquidity crisis.