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HOUSING
HOUSING
NEWS
LIC HFL to acquire 19.3% Ashiana's Marine Plaza project to resume
stake in LIC Nomura Mu- Leading real estate development com- instruction from the state government
pany Ashiana Housing Limited ex- in this regard," said the vice-president
tual Fund AMC pressed confidence that construction of Ashiana, Col Shantanu Haldule.
work of its ambitious project 'Marine
LIC Housing Finance is set to buy Plaza' will restart in December. Addressing a press conference Haldule
19.3% stake said "We have already
from Nomura in The construction work of spent Rs 21 crore on Ma-
LIC Nomura the project spreading over rine Plaza, which will be a
Mutual Fund for five lakh square feet in- sprawling mall with multi-
Rs 27.3 crore, cluding a four-star hotel plex and a four-star hotel
as the Japanese was stalled two years ago to be developed at a cost
following East Singhbhum district ad-
financial services major looks to exit ministration ordering an inquiry into of Rs 65 crore." Claiming that its cus-
the fund joint venture, which man- alleged violation of lease agreement tomers in the proposed project were
aged assets worth Rs 11,157 crore as signed between Tata Steel and the intact, Haldule said in 2010, the book-
on September 2015. state of government in 2005. ing for space in the project was done
at Rs 3,000 per square feet, which was
Nomura is selling the stake at a loss, as "The inquiry report has already been certain to go up on account of cost es-
the deal values the fund house at Rs submitted and we are expecting some calation.
141.45 crore, much lower than the Rs
800 crore valuation in July 2009 when Tata Housing to develop Rs 200 crore project in
Nomura had picked up a 35% stake for
Rs 308 crore. LIC holds 45% stake in the Mumbai
asset management company and LIC
Housing Finance owns 20%. Realty firm Tata Housing has tied up with another realtor Neptune group to
develop a housing project in Mumbai at an estimated
In a filing to the BSE, LIC Housing Fi- cost of Rs 200 crore. The company, which is the real es-
nance said the board has approved tate arm of the Tata group, announced expansion in the
the proposal to acquire up to 19.3% premium real estate space with the launch of new project
stake in the paid-up equity share capi- 'Eleve' in Mumbai, in collaboration with Neptune Group.
tal of LIC Nomura Mutual Fund Asset
Management Company. Nomura had The starting price of the flat in this project, spread over 22 acres, would be Rs
sounded out the state-owned insurer 1.4 crore, Tata Housing said in a statement. Land parcel belongs to Neptune
about its intention to exit the business Group and both the partners would develop 500 units in this project at an in-
as the fund house has been struggling vestment of Rs 200 crore, sources said. Commenting on the occasion, Brotin
to withstand the stiff competition in Banerjee, MD & CEO, Tata Housing, said, "We are extremely glad to partner
the domestic mutual fund industry. with Neptune to expand our presence in Mumbai."
20 | 2016 | JANUARY | BANKING FINANCE
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