Shares of DB Realty were stuck in the upper circuit of 5% for the second straight session today after the real estate player said its subsidiary Goregaon Hotel and Realty has executed loan settlement agreement with Reliance Commercial Finance Limited. DB Realty shares opened 3.91% higher at Rs 93 today against the previous close of Rs 89.50 on BSE. Later, the stock hit upper circuit of 5% at Rs 93.95 and was stuck at the same level till close in today’s session. In the last two sessions, the stock has gained 10.21% on BSE.
DB Realty shares stand higher than the 5-day, 20-day and 200-day moving averages but lower than 50-day and 100-day moving averages. In 2023, DB Realty stock has risen 0.21% and gained 44% in one year. Total 0.85 lakh shares changed hands amounting to a turnover of Rs 79.24 crore on BSE. Market cap of DB Realty rose to Rs 3,213.64 crore. The stock closed 5% higher at Rs 93.95 today. In the previous session too, the stock ended 5% higher at Rs 89.50 on BSE.
The stock hit a 52-week high of Rs 139.45 on September 23, 2022 and a 52-week low of Rs 52.10 on July 5, 2022.
DB Realty said in a communication to bourses that the concerned parties have agreed to settle ‘all the claims’ in relation to the loan agreement by way of amicable settlement.
Informing bourses about the loan settlement agreement, DB Realty said, “In compliance with Regulation 30 of SEBI, (Listing Obligations and Disclosure Requirements) Regulations, 2015, we wish to inform that the company and its wholly owned subsidiary company, Goregaon Hotel And Realty Private Limited have executed Settle Agreement with Reliance Commercial Finance Limited (“Lender”) on 10th January 2023for the loans given by the lender in the past.”
In accordance with the terms and conditions as detailed in the settlement agreements and the salient terms thereof are as under:
1] The company has agreed to pay an amount of Rs 185.60 crore to the lender as full and final settlement in various tranches.
2] Goregaon Hotel has agreed to pay an amount of Rs 214.40 crore to the lender as full and final settlement in various tranches.
3] The aforesaid settlement amounts shall be payable in various tranches and last amount shall be payable latest by March 31, 2025.
Interestingly, wife of late investor Rekha Jhunjhunwala owns stake in the realty firm. At the end of the September quarter, Rekha Jhunjhunwala held 50 lakh shares or 1.46 per cent stake in the company.
The firm is engaged in the real estate development and construction. It is primarily in the business of real estate construction, development and other related activities. The company is focused on residential, commercial, retail and other projects, such as mass housing and cluster redevelopment.
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