Unitech exits New Kolkata SPV
Unitech, the country’s second-largest property developer, has withdrawn from New Kolkata International Development (NKID) Pvt Ltd, a special purpose vehicle (SPV) formed to develop several large projects in West Bengal, including the proposed petroleum, chemicals and petrochemical investment region (PCPIR) at Nayachar. The company’s 40% stake has now been acquired by the Salim group and Universal Success, which earlier had a 40% and 20% stake respectively.
NKID is a 51% partner for the Nayachar project, while the balance is with the West Bengal Industrial Development Corporation (WBIDC). While Unitech officials were tight lipped on the reasons behind their hasty exit, industry sources point out that the long gestation period for the project was one possible reason.
It may be recalled that Unitech had incurred a huge debt of approximately Rs7,800 crore which it plans to reduce it by atleast Rs1,000 crore this fiscal. Plans on its agenda include the sale of non-core assets across Delhi, Kolkata, Noida and Gurgaon and a concentrated focus on affordable housing projects to boost volumes and cash flows.