The Board of Oberoi Realty at its meeting held on 20 March 2025 has approved the following:
(i) a securities subscription agreement (SSA) to be entered into between the Company, Alpha Wave Ventures II, LP (“Investor”), Vikas Oberoi, and I-Ven Realty (I-Ven), pursuant to which I-Ven proposes to offer and issue securities to the Investor for a consideration of Rs 1250,00,00,100, constituting 21.74% of the share capital of I-Ven on a fully diluted basis, subject to certain conditions as contained in the SSA (Proposed Transaction); and
(ii) a shareholders' agreement (SHA) to be entered into between the Company, the Investor, Vikas Oberoi, and I-Ven, to record inter alia the terms and conditions governing the management of I-Ven and the inter se rights and obligations of the Investor, the Company, and Vikas Oberoi in respect of I-Ven upon consummation of Proposed Transaction.
I-Ven is a joint venture company of the Company, and the shares of I-Ven are currently held between Company and Mr. Vikas Oberoi in equal proportion.
Accordingly, the Company, the Investor, Vikas Oberoi, and I-Ven have executed the SSA and the SHA (Transaction Documents) on 20 March 2025.
Further, pursuant to the terms of the Transaction Documents and as a pre-condition to the Proposed Transaction, I-Ven is required to undertake a restructuring of the funds infused by, inter alia, the Company and Vikas Oberoi in I-Ven. In this regard, I-Ven will be undertaking a rights issue of redeemable preference shares at an issue price of Rs 400 per share each, to the Company and Vikas Oberoi in equal proportion, in one or more tranches, the proceeds of which will be primarily utilized to repay the outstanding amounts of the loan availed from the Company and Vikas Oberoi, as well as redeem the existing preference shares held by inter alia the Company and Vikas Oberoi. Accordingly, the Board has also approved the subscription of up to 41,25,000 redeemable preference shares at for a subscription amount of up to Rs 165 crore.