One of the country’s leading apparel and textile manufacturer, Alok Industries Ltd, has plans to sell of its real estate investments. The company has taken this decision to square off its debts as well as to raise working capital for the company. Alok Industries Ltd is a sportswear supplier to multinational giants like to Wal-Mart Stores Inc and Gap Inc.
As per market value Alok Industries is the second-largest apparel and textile manufacturer of the country. Since October 2006 the company has made an investment to the tune of about 15 billion rupees ($317 million) to develop four real-estate projects in Mumbai. This was stated by Sunil Khandelwal who is the chief financial officer of Alok Industries Ltd.
Mr. Khandelwal said that those four projects are almost complete and the company is now in a position to cash in from those projects. According to him the company had forayed into realty business at that time because the sector looked quite positive and the intention was to capitalize on it.
At present Alok Industries has a debt of 85 billion rupees with another 5.75 billion rupees as interest payments and by selling its real estate assets it hopes to pay a part of that amount. However the company has not yet confirmed the date of intended sale.
As per market value Alok Industries is the second-largest apparel and textile manufacturer of the country. Since October 2006 the company has made an investment to the tune of about 15 billion rupees ($317 million) to develop four real-estate projects in Mumbai. This was stated by Sunil Khandelwal who is the chief financial officer of Alok Industries Ltd.
Mr. Khandelwal said that those four projects are almost complete and the company is now in a position to cash in from those projects. According to him the company had forayed into realty business at that time because the sector looked quite positive and the intention was to capitalize on it.
At present Alok Industries has a debt of 85 billion rupees with another 5.75 billion rupees as interest payments and by selling its real estate assets it hopes to pay a part of that amount. However the company has not yet confirmed the date of intended sale.
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