Leading textile and apparel company Raymond said on Tuesday that it has formed a declining subsidiary Ten X Realty Ltd (TXRL) to engage in real estate business for land and property development in Thane, Maharashtra.
TXRL was incorporated for the purpose of undertaking real estate business, Raymond said in a regulatory filing.
“A new company by the name of Ten X Realty Ltd has been incorporated as a step-by-step subsidiary of Raymond Ltd for the purpose of carrying on real estate business for the joint development/development of land and properties other than the existing properties of company located in Thane, Maharashtra,” the company said.
In order to fund and capitalize TXRL, the Board of Directors of Raymond at its meeting held on Tuesday approved and passed an enabling resolution to infuse the funds up to Rs 150 crore in addition to a tranche over a period of time.
“Of the said investment, the company will invest up to Rs 75 crore in the form of redeemable preferred shares which would be subject to such conditions as may be finally decided and agreed upon,” he said. The investment would be in the form of stocks, preferred stocks, debentures or others, he added.