CG Power and Industrial Solutions shares rallied 8 percent intraday on June 24 after selling a certain portion of land in Mumbai. But it cooled off later.
In continuation of the asset optimisation initiatives, the company, on June 21, said the board members approved entering into conveyance agreement for sale of the remaining portion of its land situated at Kanjurmarg, Mumbai currently housing the transformer manufacturing unit admeasuring approximately 13 acres to Evie Real Estate Private Limited.
"We also approved closure/shifting of the said transformer manufacturing unit as a precondition to such sale of land," it added.
The company sold its land for an aggregate sum of Rs 498.96 crore.
CG Power said transformer manufacturing unit has a turnover of Rs 443.62 crore which was around 11.26 percent of the total revenue of Rs 3,938.26 crore as of December 31, 2018.
The date of closure agreed with the buyer is October 27, 2019 and completion of the sale is on or before December 27, 2019, it added.
The stock was quoting at Rs 29.30, up Rs 0.55, or 1.91 percent on the BSE at 1139 hours IST.
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