Clutch Auto plans to sell Faridabad land: Source

MUMBAI: Auto component maker Clutch Auto is looking to reduce debt on the books by selling land in Faridabad, a person familiar with the development said on condition of anonymity.

The management of Clutch Auto declined to comment on the issue.

The company owns 6.55 acres of land in Faridabad and recently shifted all major operations to Bhiwadi. Jones Lang LaSalle, a major property consultant and broker, was appointed by the company to manage the land sale around 6 months ago.

Two companies are in the race to buy the land and the valuation quoted currently is in the range of Rs 130 crore, according to the source. The company has debt to the tune of Rs 200 crore and the land sale will help it reduce the majority of its debt.

At 12:27 p.m., the Clutch Auto stock surged 4.91 percent higher on the NSE post the story on ET Now. It has touched a high of Rs 27.80 and a low of Rs 26.50 today.