The board of directors of Oberoi Realty have approved a securities subscription agreement (SSA) to be entered into between the company, Alpha Wave Ventures II, LP, Vikas Oberoi, and I-Ven Realty (I-Ven).
Pursuant to the SSA, Alpha Wave Ventures II, LP has agreed to subscribe to (i) 2,77,778 Series A CCPS at a price per share of Rs 44,999.964 for each Series A CCPS, and (ii) 10 Class A equity shares at a price per share of Rs 10, for an aggregate consideration of Rs 1,250 crore and constituting 21.74% of the shareholding of I-Ven on a fully diluted basis.
I-Ven is a joint venture company of Oberoi Realty, and the shares of I-Ven are currently held between company and Vikas in equal proportion.As per the agreement, I-Ven is required to undertake a restructuring of the funds infused by, inter alia, the
company and Vikas. 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 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 as well as redeem the existing preference shares held by inter alia the company and Vikas.
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.
