Mukand to sell 9 acres of Kalwa land to AGP DC Infra for Rs 506 crore

Mukand Ltd, a Bajaj Group company, has signed a term sheet with AGP DC Infra Private Ltd for the sale of nearly nine acres of land in Kalwa, Thane, at a composite consideration of about Rs 506 crore.

The speciality steel making company is looking to unlock value from surplus land without affecting its manufacturing operations.

The buyer, AGP DC Infra Private Ltd, formerly known as APG DC Infra Private Ltd, is a Bengaluru-headquartered company.


The Mumbai-based company said it executed the term sheet on Wednesday for the sale of land parcels measuring about 8.78 acres, along with a 0.42 acre portion of the Northern Access Road and related non-exclusive right-of-way arrangements. The transaction has been valued at Rs 55 crore per acre for the land and associated rights, aggregating to around Rs 506 crore. Mukand has already received an advance payment of Rs 10 crore from the buyer.

The proposed transaction is subject to approvals, permissions and no-objection certificates from the Government of Maharashtra, the Collector of Thane, the Gram Panchayat and other relevant authorities.

It is also contingent upon fulfilment of conditions precedent, completion of a joint survey and demarcation of the land, and the purchaser being satisfied with the outcome of technical and other due diligence exercises. The final consideration may be revised based on the actual land measurement.

Mukand said the land sale is not expected to have any impact on its operations and does not constitute the sale of an undertaking or substantially the whole of an undertaking under the Companies Act, 2013. The company said the objective of the transaction is to unlock value from the land parcel while continuing its existing business operations.

The buyer does not belong to its promoter or promoter group, and the transaction is not a related-party deal. It also said none of its promoters, directors, key managerial personnel or their relatives have any direct or indirect interest in the transaction.

The Kalwa land transaction is among the larger industrial land monetisation deals announced in the Mumbai metropolitan region in recent months, reflecting continued demand for strategically located land parcels suitable for logistics, industrial and data centre developments, particularly along the Thane-Belapur corridor.