The Hindu Business Line : Finolex Ind in deal with Tishman Speyer for land sale

Pune June 21 Finolex Industries Ltd (FIL) is close to inking a pact with Tishman Speyer India Ventures, a company engaged in real estate development, for the sale of its land in Chinchwad, near Pune, which currently houses one of its PVC pipe manufacturing facility, sources close to the company reveal.

The deal is expected to be worth over Rs 300 crore, sources said.

To pave the way for the impending agreement, the PVC pipe manufacturing plant that currently stands on the 78-acre plot will be moved to the company's existing plant at Ratnagiri. FIL is also adding capacity by setting up another greenfield facility to manufacture pipes at Urse. It may be recalled that the Pune-based FIL had announced that it would develop an IT SEZ on the property. However, with the new developments, Tishman Speyer India Ventures will develop the land, and, in the process `unlock value' for the company.

At the National Stock Exchange, FIL stock closed at Rs 83.65 down marginally from its previous day close of Rs 84.20. FIL will move its Chinchwad plant, lock, stock and barrel to its 1000-acre plot in Ratnagiri where it is already producing nearly 60,000 tonnes of pipes annually, in addition to PVC resin.

A second greenfield plant is also being put up Urse, where the company has procured a 20-acre plot of land recently adjacent to the Finolex Cables plant. Work on the new plant is already under way. It is expected to go on stream by December, and produce 20,000 tonnes of pipes annually. Tishman Speyer Properties, a leading owner, developer and operator in the real estate sector has developed properties across the world including New York icons Chrysler Building and the Rockefeller Centre.

Tishman Speyer India Ventures is a 50:50 joint venture between Tishman Speyer Properties USA and ICICI Ventures.

More Stories on : Real Estate & Construction | New Projects | Plastics | Maharashtra

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Cyclone alert for AP coast

External borrowings becoming more expensive

Air Deccan board to decide on shedding stake to UB

Cabinet allows Mittal to pick up 49% stake in Bhatinda refinery

Central Drug Administration to become reality soon

Finolex Ind in deal with Tishman Speyer for land sale

Rupee impact: Bluechip IT stocks slump 7-14% in Jan-June

e-passport: TCS looks for major global contracts

Cabinet nod for additional 30 lakh tonnes sugar buffer

SEBI to consider proposal on investor protection fund on June 30

Order buzz lifts Educomp

WTO sets up panel on India's wine duties