Canadian investment firm Brookfield Asset Management Inc has acquired the headquarters of IL&FS (Infrastructure Leasing and Financial Services) at Mumbai's BKC for Rs 1,080 crore (around $143 million). The Letter of Intent given to Brookfield and the asset will be handed over later this year, the company said on Tuesday.
During a press conference, IL&FS said it has managed to resolve Rs 55,000 crore debt overall by 31 March, 2022. Its total debt was Rs 99,355 crore across 347 entities when the new board took over in 2018. The IL&FS headquarter is located in Mumbai's Bandra Kurla Complex known as the city's suburban premium commercial space.
Brookfield has been operating in India for over 11 years and currently manages $20.6 billion in assets across infrastructure, real estate, and renewable energy. Recently, the investor agreed to pick up a minority stake in the packaging films business from Jindal Poly Films Limited (JPFL) for Rs 2,000 crore (around $263 million).
In November, it invested Rs 1,000 crore in Hyderabad-based real estate firm INDIS (formerly the INCOR Group) to grow its real estate portfolio.
IL&FS
Meanwhile, Uday Kotak's term as Chairman of IL&FS, ends on April 2, 2022. CS Rajan, Managing Director of IL&FS has been appointed chairman and managing director of IL&FS for a period of six months effective April 3, 2022 by the Government.
“Overall estimated debt that we target to resolve stands at Rs 61,000 crore or 62% debt of 2018 debt," the company said.
It further elaborated that Rs 21,000 crore has been discharged by the way of asset monetisation and debt repayment, largely to public sector lenders. The Group has nearly Rs 20,000 crore through cash and InvIT.
Also, transaction closure is underway for Rs 7,500 crore while Rs 6,500 crore is awaiting judicial approvals.
ITNL completed transfer of two road assets (Sikar Bikaner Highway Limited and Moradabad Bareilly Expressway Limited) to Roadstar Infra Investment Trust at a cumulative enterprise valuation of Rs 4,200 crore. Transfer of remaining SPVs to the InvIT is being undertaken in multiple phases.