In an exchange filing, the company said, “The merger of NAM Estates and Embassy One Commercial Property Developments (Embassy One) into IBREL has been withheld by the National Company Law Tribunal (NCLT), Chandigarh Bench.”

The merger already stands sanctioned by the NCLT, Bengaluru Bench, which has jurisdiction over NAM Estates and Embassy One, on 22 April 2022. However, the NCLT, Chandigarh Bench, which has jurisdiction over IBREL, had earlier raised certain concerns based on the objections cited by Income Tax department to the merger, the firm stated.

Indiabulls Real Estate said that it strongly believes that these objections and concerns were unfounded, unjustified and do not impact the merger in a significant manner and had accordingly addressed the same before the NCLT. The company will await the detailed order to further evaluate the next steps and shall explore all options, including filing an appeal against the order of the NCLT, Chandigarh Bench, before the National Company Law Appellate Tribunal (NCLAT) at the earliest, it added.

Further, the company added that the merger has already received overwhelming support from 99.9987% of its shareholders who voted on the same and has also received approval from other regulators. IBREL's board shall be meeting over the next day to chalk out its plan and strategy to move forward and shall communicate the same to all its stakeholders.

Indiabulls Real Estate is engaged in the development of real estate projects and allied activities. The company reported a consolidated net loss of Rs 236.98 crore in Q3 FY23 as against Rs 87.22 crore in Q3 FY22. Net sales declined 58.8% YoY to Rs 133 crore in Q3 FY23.