Gensol Exits DLF Office Deal A Month Prior to SEBI Order

As per news reports, a month prior to SEBI’s interim order dated April 15 against Gensol Engineering’s promoters, the company withdrew from a high-profile lease deal with DLF. Gensol had signed a Letter of Intent (LoI) to lease 90,000 sq ft in a premium office building in Gurgaon but informed DLF recently that it would not proceed with the final agreement. 

A source aware of the development noted that, “Usually at an LoI stage, the company pays rent for two months in advance. In this case, the rent was around ₹1.8 crore a month and the LoI was signed around 8-9 months ago. When Gensol team approached for cancelation of agreement, DLF agreed to it since majority of the building is pre-leased and it has demand from more corporates.” 

Strong Demand in Gurgaon’s Office Market 

Despite Gensol’s exit, DLF is not expected to face leasing setbacks. Major corporates, including Google and Table Space, are reportedly in talks for space in the same development. 

According to Cushman & Wakefield, NCR saw a gross leasing volume (GLV) of 2.8 million sq ft in Q1 2025. The IT-BPM sector led with a 45% share, while Gurugram accounted for 62% of the leasing activity, followed by Noida (35%) and Delhi (3%). 

The Noida Expressway sub-market recorded the highest leasing share at 27%, marking a 1.7x growth over the average of the previous four quarters. 

Read More, Tata Technologies Share Price Falls Over 5% After Block Deal, Down 50% From Listing Price.  

SEBI’s Interim Order and Allegations 

SEBI’s April 15 order raised concerns over financial irregularities at Gensol. The regulator alleged that Gensol procured 4,704 EVs despite loans being sanctioned for 6,400 vehicles, leading to a discrepancy of ₹262 crore in the company’s books. 

Sebi has directed a six-month forensic audit to verify the findings of its interim investigation, which also accused promoters Anmol and Puneet Singh Jaggi of fund diversion. 

Conclusion

Gensol’s lease termination occurred weeks before SEBI’s interim action. A forensic audit is underway to confirm findings of financial irregularities. 

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