Mumbai: Godrej Properties Ltd (GPL) on Friday said it would sell its entire 100% stake in Godrej Investment Advisers Ltd, a fund management business that the real estate firm had set up last year.
In a filing with the BSE, the Godrej group said its board had approved the sale, subject to requisite approvals.
“We have taken an enabling resolution from the board; the exact valuation will be determined through a valuation exercise,” Pirojsha Godrej, executive chairman of Godrej Properties Ltd said in an emailed response.
It makes more strategic sense for the businesses to be separate entities though there will continue to be cooperation between the two, he said.
Godrej Properties on Thursday posted a net profit of Rs62.58 crore for the March quarter against a loss of Rs10.74 crore a year earlier, as sales rose.
Total income during the quarter stood at Rs464.83 crore, up 19.3% from a year earlier.
In the full year ended 31 March, GPL’s net profit increased 29.4% to Rs206.80 crore from Rs159.76 crore a year earlier. Income was Rs1708.34 crore, down 24.14% from Rs2,252 crore the previous year.
Shares of Godrej Properties fell 0.49% from their previous close to Rs528.95, while the Sensex closed at 29,858.80, down 0.89%.