Velan Hotels Ltd has completed the sale of its hotel property located in Tirupur to M/s. J.P. Associates Asia Pacific Private Ltd for a total consideration of ₹37.16 crore. The transaction was finalized on July 2, 2026, after necessary rectifications were made in the Town Survey Land Register (TSLR) of the property. The company received the sale proceeds in multiple tranches, subject to the deduction of applicable Tax Deducted at Source (TDS).

The disclosure was made to BSE Limited under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This communication follows previous updates provided by the company on January 13, May 1, June 16, and June 25, 2026, regarding the status of the sale. The purchaser, M/s. J.P. Associates Asia Pacific Private Ltd, is a non-related party based in Coimbatore.

Transaction Details

The completion of the registration marks the conclusion of the sale process, which had been pending due to errors in the land records. The company had earlier informed the exchanges about the initiation and progress of this strategic divestment.

Velan Hotels Limited has announced a delay in the registration of its hotel property sale due to discrepancies found in the Town Survey Land Register (TSLR) sketch. The company identified that while the Survey Nos in the TSLR are in order, the TSLR sketch displays incorrect details, necessitating rectification before the sale can be finalized. This regulatory hurdle impacts the completion timeline of the asset sale agreement previously entered into with M/s.J.P.Associates Asia Pacific Private Ltd.

The company has approached the relevant government authorities to update the correct survey numbers in the TSLR sketch. This corrective process is expected to be completed on or before June 30, 2026. Following this resolution, the registration of the hotel property sale is likely to take place in the first week of July 2026.

Timeline of Extensions and Agreements

The sale process has undergone several timeline adjustments since the initial agreement. The following table outlines the key dates and developments related to the asset sale:

Regulatory Disclosures

This update was submitted to BSE Limited under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The disclosure follows earlier intimations made on January 13, May 1, and June 16, 2026, regarding the asset sale and subsequent extensions granted to the prospective purchaser, a non-related party. The company stated that the registration authority at Tirupur scrutinized the draft documents, leading to the discovery of the mismatch in the survey sketches.