IT Stock Jumps 10% After Securing Board Approval to Sell Assets and Become Debt-Free

SYNOPSIS: Aurum PropTech approved the sale of two Navi Mumbai commercial buildings for Rs. 112 crore, aiming to strengthen its balance sheet, fund AI-driven PropTech initiatives, and prepay Rs. 56 crore LRD debt to become debt-free.

During Thursday’s trading session, shares of a company involved in the business of software development and other services for the real estate surged nearly 10 percent on BSE, after securing Board approval for the Rs. 112 crore asset sale to make the company debt-free.

With a market cap of Rs. 1,347.5 crores, shares of Aurum Proptech Limited closed in the green at Rs. 176.8 on BSE, up by over 8 percent, compared to its previous closing price of Rs. 163.5. The stock has delivered negative returns of over 2 percent in one year, but has gained by around 3 percent in the last six months.

News

According to the latest disclosure filed with the stock exchanges, the Board of Aurum PropTech Limited has approved the sale of Buildings Q5 and Q6 located at Millennium Business Park in Navi Mumbai for a total consideration of Rs. 112 crores, which is approximately 15 percent higher than the valuation provided by the valuers.

The transaction forms part of the company’s broader strategic shift toward AI-driven PropTech platforms, with Aurum PropTech committing significant capital toward developing advanced artificial intelligence (AI) capabilities across the real estate ecosystem. The proceeds from the sale are expected to strengthen the company’s growing AI investment pool and support the accelerated development of intelligent digital infrastructure for the real estate sector.

The assets being sold have an approximate book value of Rs. 27 crores, and the transaction is expected to generate a substantial profit, which will enhance the group’s profitability metrics and strengthen its balance sheet.

Following the completion of the transaction, the company is also expected to become debt-free, as the proceeds from the sale will be used to prepay its Lease Rental Discounting (LRD) facility of Rs. 56 crores. As of September 2025, the company reported total borrowings of Rs. 281 crores on its balance sheet. The company stated that the transaction is expected to be completed by 30th June 2026, subject to the receipt of necessary regulatory approvals.

Financials

Aurum Proptech reported a significant growth in revenue from operations, experiencing a year-on-year increase of around 78 percent, from Rs. 64.6 crores in Q3 FY25 to Rs. 114.8 crores in Q3 FY26. Meanwhile, it has delivered a sharp turnaround in profitability, shifting from a net loss of Rs. 8.5 crore to a net profit of Rs. 2.7 crore over the same period.

Aurum PropTech Limited is engaged in the business of PropTech (property and technology) development for the real estate and other services relating to real estate. Its goal is to build an integrated ecosystem that will enhance consumer experiences and optimise efficiencies across the entire real estate value chain. This ecosystem aims to connect and streamline all aspects of the real estate industry, from property search and transactions to investment opportunities through its investment in subsidiaries.

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