Shares of Prestige Estates Projects soared 7.4 per cent to a high of Rs 1,256 in Monday’s intra-day trades on the BSE after the group reportedly secured landing funding for future projects.
At 12:20 pm, the stock was up 6.2 per cent at Rs 1,243, on volumes of around 20,000 shares on the BSE. Meanwhile, the S&P BSE Sensex gained 0.6 per cent at 74,060
The company in an exchange filing today said, Prestige Group entered into Landmark Deal with Abu Dhabi Investment Authority (ADIA) and Kotak AIF for Rs 2,001 crore funding to capitalise on growth opportunities in residential sector; by developing projects with Gross Development Value (GDV) of Rs 18,000 crore across 4 Indian cities.
Commenting on the deal, Irfan Razack, Chairman & Managing Director of Prestige Group said, “This marquee deal not only underscores the confidence of institutional investors in the Group’s execution and corporate governance but also reflects its shared commitment to delivering excellence in real estate development pan-India.”
Highlighting the long-term significance of the partnership, Venkat K Narayana, Group CEO said “Given the increasing demand and consolidation in the sector, this deal will help in accelerating growth and expansion. These funds will fuel the development of greenfield residential projects across the cities of Bengaluru, Mumbai, Goa, and NCR.”
On Sunday, in an exchange filing, Prestige Estates Projects said it acquired 50 per cent partnership interest in Prestige Realty Ventures for cash consideration of Rs 165 crore.
With this acquisition, the company now holds 99.90% partnership interest in Prestige Realty Ventures. The latter has developed commercial building “Prestige Techcloud’ and Hotel “Moxy – Prestige Tech Cloud” in Bengaluru.
Recently, the company announced the launch of its new luxury residential project Prestige Somerville in Whitefield, Bangalore. The project comprises of 306 apartments across two high-rise towers spread in 6.5 acres of land and has a revenue potential of Rs 800 crore.
Further, the Prestige Group has acquired 62.5 acres of Prime Land in Indirapuram Extension, NCR for building an integrated township, ‘The Prestige City’ Spanning Over 10 million sq. ft. This acquisition marks a significant milestone for Prestige Group as it expands its footprint in the dynamic real estate market of NCR.
The cost of acquisition amounted to Rs 468 crore, along with a revenue share. The acquired land will be developed primarily as residential, complemented by education and retail aligning with Prestige Group’s vision to create integrated urban communities that redefine modern living.
First Published: Apr 01 2024 | 12:25 PM IST