NEW DELHI: Shares of Raymond jumped over 3 per cent in Wednesdays trade after the textile major put on the block a nearly 20-acre land parcel, which is part of its total 125-acre land at Thanes Cadbury Junction, said two persons with direct knowledge of the development.The stock rose 3.12 per cent to hit a high of Rs 689.05 on BSE.Raymond has been looking to either jointly develop a realty project on this 125-acre land or sell it in parts since early 2011, ET reported.
This 20-acre plot will be the first that will be sold on an outright basis.
The free-hold land parcel can potentially be utilised for residential, retail or commercial development, showed the offer documents accessed by ET.While the company has not put any reserve price for the land parcel, one can expect the deal to fetch around Rs 650-700 crore based on the last few concluded transactions for land parcels in Thane, said one of the persons mentioned above.In April, the company had announced the board approval for the development of 20 acres of land for residential purposes.
The project was expected to be developed over a period of 5-6 years with estimated project expenditure in FY19 to be in the range of Rs 300 crore.