Indiabulls Real Estate Approves Share-Swap Ratio For Merger With Embassy Group

Indiabulls Real Estate Ltd.’s board approved the merger of two Embassy Group units with itself as the Sameer Gehlaut-led group cedes control of the property business.

The stock-swap merger will need approvals from shareholders of the merging companies, the stock exchanges, Securities and Exchange Board of India, Competition Commission of India and the National Company Law Tribunal. This process is expected to take approximately 12 months, the filing said.

The Indiabulls Group’s exit from real estate was originally intended to smoothen its effort to help flagship Indiabulls Housing Finance Ltd. become a bank via a proposed merger with Lakshmi Vilas Bank Ltd. But that proposal failed to receive approval from Reserve Bank of India in October 2019. Last week, group promoter Sameer Gehlaut stepped down as chairman of the non-banking financial company to lead another group entity Indiabulls Ventures Ltd.