Unitech to spin off biz including telecoms
NEW DELHI (Reuters) - Unitech Ltd, India's second-largest listed real estate firm, said late Tuesday it would spin off its infrastructure businesses including its investment in a telecoms firm into a separate company as it aims to unlock value.
For every one share held in Unitech Ltd, shareholders will get one share of the new firm Unitech Infra Ltd, to be listed on the stock exchanges, said New Delhi-based Unitech in a statement after a board meeting.
Unitech Infra will house the property firm's infrastructure businesses including telecoms, management of amusement parks, construction business, hotels, special economic zones, it said.
Currently, Unitech owns about 33 percent stake in telecoms firm Unitech Wireless, the Indian joint venture partner of Norway's Telenor.
In February, Telenor completed its stake buy in the telecoms venture, taking its holding to an agreed 67.25 percent.
While Unitech will own 35 percent of Unitech Infra, the realtor's existing shareholders will own the remainder.
Unitech said its board has approved constituting a committee to explore potential local and overseas acquisitions.
Prior to the announcement, Unitech shares closed 4.6 percent higher at 83.50 rupees in a Mumbai market.
(Reporting by Devidutta Tripathy; editing by Malini Menon)
(For more business news on Reuters Money visit www.reutersmoney.in)
- Tweet this
- Share this
- Digg this
- Govt considers ban on e-cigarettes, sale of single smokes
- India's fiscal deficit in H1 almost 83 pct of full-year target
- Islamic State fighters kill 220 Iraqis from tribe that opposed them
- Muslim men over 50 pray at Jerusalem's Aqsa mosque amid tight security
- Europe won't recognise vote in eastern Ukraine, Merkel tells Putin
Shares Hit Record
The BSE Sensex and Nifty surged to record highs for a second consecutive session on Friday after Bank of Japan's surprise expansion of its massive stimulus programme raised hopes for additional foreign inflows, boosting blue-chips such as Larsen & Toubro. Full Article
China's shadow banking sector growing rapidly, third largest in world - FSB. Full Article