Eveready India sells Chennai land for Rs 100 crore to Olympia group

Batteries firm Eveready Industries India has sold its land in Chennai to an Olympia Group firm for a consideration of Rs 100 crore.

"The company has executed an agreement for sale... with Alwarpet Properties Private Ltd (part of the Olympia Group, Chennai), for sale of its land situated in Chennai, Tamil Nadu, for a consideration of Rs 100 crore," Eveready Industries said in a BSE filing.

The sale is expected to be completed within 4-10 months, based on tangible milestones, the company added.

Eveready Industries said, for, over the last five decades, a battery manufacturing facility was located on the said land.

"However, the factory became economically unviable, which led to it becoming idle for some time. This had no impact on the operations of the company," it added.

Eveready MD Amritanshu Khaitan said the sale transaction will help reduce debts of the company and further improve the balance sheet.

"The closure of the factory, in any case, is positive to the profitability of the business on account of cost savings," he added.

(With inputs from agencies.)