APL Apollo Tubes To Exit Real Estate Subsidiary With ₹160 Crore Divestment

APL Apollo Tubes will offload its entire holding in Blue Ocean Projects Private Limited (BOPPL), a wholly-owned subsidiary, to related party SG Realtor Private Limited in a deal valued at ₹160 crore. The move brings the company's exit from its real estate holding subsidiary. The board approved the proposal on 27 June, acting on a recommendation from the Audit Committee.

Shares of APL Apollo Tubes ended the previous trading session with a decent gain. Over the past year, the stock has remained largely flat, delivering a return of 2.78%, while it has surged nearly 129% over the last five years.

On Monday, 29 June2026, APL Apollo Tubes shares were trading at ₹1,788.41 down 0.28% on National Stock Exchange (NSE).

Why Is APL Apollo Tubes Selling Its Subsidiary?

The company said the transaction involves the sale of its entire shareholding in Blue Ocean Projects Private Limited, a wholly-owned subsidiary that primarily holds real estate assets. The buyer, SG Realtor Private Limited, has been identified as a related party because APL Apollo Tubes' promoters and their immediate relatives own more than 20% of its equity share capital.

Despite the related-party nature of the deal, the company said the transaction is being carried out on an arm's length basis. The sale consideration of ₹160 crore has been determined using a valuation report prepared by an independent registered valuer.

APL Apollo Tubes expects to sign the share sale and purchase agreement on or before 31 December 2026, with the transaction also scheduled to close by the same date.

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Limited Financial Contribution From BOPPL

Blue Ocean Projects played only a small role in APL Apollo Tubes' consolidated business during FY26. The subsidiary reported turnover of ₹14.91 crore, accounting for 0.06% of the consolidated turnover. Its total income stood at ₹17.16 crore, while its net worth was ₹139.09 crore, representing 2.63% of the company's consolidated net worth.

APL Apollo Tubes said the disclosure was made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Source:

CNBC TV18