Godrej Properties plans to invest Rs 400 crore in DB Realty to pick up 10% stake

"We will be investing about Rs 400 crore in DB Realty for around 10 per cent stake through issue of warrants," Pirojsha said.

Godrej Properties will subscribe to warrants convertible into equity shares.

Stating that DB Realty has a strong capability of executing slum redevelopment projects, he said the company would enter into this new segment that has huge opportunities.

"We will have a strategic partnership with DB Realty and will jointly set up a platform of Rs 600 crore," said Pirojsha.

Godrej Properties and DB Realty will invest Rs 300 crore each into a joint platform for redevelopment projects, Pirojsha said.

Pirojsha said the company's total investment would be around Rs 700 crore.

According to a regulatory filing, the board granted its approval to evaluate a potential investment in DB Realty Ltd in the form of warrants convertible into equity shares and the setting up of a special purpose vehicle as a joint venture with DB Realty to undertake slum rehabilitation and MHADA (Maharashtra Housing and Area Development Authority) redevelopment projects.

Godrej Properties has a major presence in Mumbai region, Pune, Bengaluru and Delhi-NCR.