NBCC India Expands into Dubai Real Estate Market with New Subsidiary
New Delhi: Shares of Civil Construction PSU Firm, NBCC (India) Ltd, surged by 3.8% following the company's announcement of the formation of a wholly-owned subsidiary in Dubai Mainland, UAE, for real estate purposes.
NBCC Overseas Real Estate LLC has been incorporated as a Wholly Owned Subsidiary of NBCC (India) Limited in Dubai Mainland, UAE. The primary objective of this new entity is to engage in the buying and selling of real estate in the Dubai Mainland, as confirmed by the company in a filing to the stock exchange.
The Department of Investment and Public Asset Management (DIPAM) reasserted its earlier approval for the establishment of this subsidiary through an OM dated 24th February 2025. However, the company is still awaiting approval from the Reserve Bank of India (RBI) for Outward Direct Investment (ODI).
According to the company's official statement, the newly incorporated unit aims to execute real estate business in mainland Dubai, focusing initially on buying and selling properties. This move is expected to diversify NBCC's portfolio and tap into the lucrative Dubai real estate market.
In a separate development, NBCC (India) Limited has successfully sold 446 residential units at Aspire Silicon City, PH-IV at Sec-76, Noida, U.P., through an e-auction. The total sale value of these units is approximately Rs. 1,467.93 crores. This achievement underscores the company's strong market presence and its ability to attract significant interest in its residential projects.
The stock market responded positively to these developments, with shares of NBCC (India) Ltd rising by 3.86% to Rs 110.84. The stock opened at Rs 107.16 and has shown a 12.64% correction over the past one month. The 52-week high for the stock is at Rs 139.83.
NBCC (India) Limited, a leading public sector undertaking in civil construction, has been actively expanding its operations and diversifying its business to ensure sustainable growth and profitability. The establishment of the Dubai subsidiary represents a significant step in this direction, positioning the company to capitalize on the dynamic real estate market in the UAE.
