The board of Indiabulls Real Estate Ltd (IBREL) has approved a proposal to re-designate its co-founder Sameer Gehlaut as a public shareholder from a promoter.

In a regulatory filing to the stock exchanges, the company said that it had received a request from him and certain other entities who collectively hold 0.26 per cent in the company to classify them in the public category from promoter and promoter group earlier.

This proposal was approved by the company’s board at its meeting on Wednesday. IBREL added that after receipt of necessary approvals and upon compliance with applicable laws, these outgoing promoters would get de-promoterised and will be categorised as public shareholders.

The latest development comes just days after Gehlaut sold 11.9 per cent in Indiabulls Housing Finance Company, towards de-promoterisation of the firm. He had earlier resigned as the executive chairman of Indiabulls Housing.

Gehlaut had disclosed that he will be resigning from the board of Indiabulls Housing Finance by end of the current fiscal and that he will be completing the process of de-promotorisation with requisite approvals.

Shares of IBREL on Thursday ended with losses of 1.73 per cent or Rs 2.80 at Rs 159.30 in the BSE. Last month, its board had approved raising Rs 1,500 crore through one or more qualified institutional placement (QIP) or any other permissible modes.