Tulsyan NEC Unlocks Rs 269 Million Through Strategic Land Sale in Chennai

Image Source : X

Tulsyan NEC Ltd has successfully completed the sale of a prime land parcel in Chennai for Rs 269 million, marking a significant step in its asset monetization strategy. The transaction reflects the company’s ongoing efforts to streamline its portfolio and strengthen its financial position.

Key Highlights:

The land, located at Harikrishna Naidu Street in Varadarajapuram, Ambattur, spans approximately 67 grounds and 1,428 sq ft, and was sold to Hi Living Projects LLP.
The sale was executed through a registered deed on August 4, 2023, with full payment received via a mix of RTGS transfers, demand drafts, and cheques.
Tulsyan NEC had previously gifted portions of the land to Greater Chennai Corporation and Tamil Nadu Generation and Distribution Corporation Ltd, reducing the final saleable area.

Transaction Details:

The total consideration of Rs 296 million included Rs 29.6 lakh deducted as TDS by the buyer and remitted to the Income Tax Department.
Proceeds from the sale were directed toward partial redemption of secured nonconvertible debentures, reducing outstanding debt to Rs 2.19 billion.
The buyer, Hi Living Projects LLP, is a thirdparty entity with no promoter group affiliation, ensuring regulatory compliance under SEBI norms.

Strategic Outlook:

The sale aligns with Tulsyan NEC’s broader plan to optimize noncore assets and improve liquidity.
Analysts view the move as a prudent financial maneuver, especially amid rising interest rates and tightening credit conditions.

Sources: Government of Tamil Nadu RERA, Economic Times, Value Research Online, Rediff MoneyWiz, Tulsyan NEC Investor Announcements