The National Company Law Tribunal (NCLT) on December 24 directed Indiabulls Real Estate to convene a meeting of its shareholders on February 12, 2022, to discuss a proposed merger.
Both Embassy group entities, namely NAM Estates Private Limited and Embassy One Commercial Property Developments Private Limited (Embassy One), are set to merge with Indiabulls Real Estate Limited (IBREL).
The meeting will be chaired by an NCLT-appointed chairperson, where Indiabulls Real Estate will seek the approval of its shareholders to go ahead with the proposed merger with Embassy One.
A regulatory filing by Indiabulls Real Estate read: “The NCLT vide its order dated December 23, 2021, has directed the company to convene a meeting of its shareholders on February 12, 2022, through video conference/other audio-visual means, under the chairmanship of an NCLT-appointed chairperson, to seek the approval of the shareholders of the company to the proposed Scheme of Merger.”
The proposed scheme of amalgamation between IBREL, NAM Estates Pvt Ltd, and Embassy One Commercial Property Developments Private Limited, which was filed with the CCI, Bombay Stock Exchange, National Stock Exchange, and the Securities and Exchange Board of India through the stock exchanges, has received all relevant regulatory approvals, the company had said earlier in a statement.
The resulting combined entity, Embassy Developments Limited, will hold both Embassy Group’s and IBREL’s ongoing, completed but unsold, and planned projects with 80.8 million square feet of development potential, thus becoming one of the largest property development platforms in the country.Embassy Group, one of the largest developers in Bengaluru, already has around 14 percent stake in Mumbai-based IBREL and the same will increase to 45 percent after the merger.