Delta Corp announces Rs 100cr investment in Peninsula Land for real estate expansion
Delta Corp Ltd., a renowned entity in the casino and hotel industry, has decided to strategically invest INR 99,99,88,000 in Peninsula Land Ltd. (PLL). This move involves the issuance of 1,50,00,000 equity shares and 77,27,000 Compulsorily Convertible Debentures (CCDs) at INR 44/- each. This investment marks a significant step for Delta in expanding its business portfolio.
Formation of a Joint Venture
A joint venture (JV) is set to be established between Delta and PLL with an initial capital outlay of INR 250 crores, with Delta holding the majority stake. This JV aligns with Delta’s strategy to diversify into the real estate sector, leveraging its experience and free reserves for long-term growth.
Delta’s Real Estate Expansion Goals
Delta aims to execute projects primarily in Mumbai and Goa through this JV. The company plans to maintain its philosophy of running a debt-free business while tapping into the promising real estate sector.
PLL’s Real Estate Expertise and Performance
Peninsula Land, with over 22 years of experience in the real estate domain, has 19 successfully executed projects and is currently managing two under-construction projects. PLL’s strong performance in recent years, reducing its debt by over 90%, makes it an ideal partner for Delta in this joint venture.
Statements from Company Leaders
Jaydev Mody, Chairman of Delta, expressed optimism about the real estate sector’s growth in India and the opportunities it presents. He believes the venture with PLL positions Delta to capitalize on this growing market. Rajeev Piramal, Vice Chairman and Managing Director of PLL, highlighted PLL’s commitment to strategic vision, project execution, and debt reduction, and expressed excitement about the growth potential with Delta.
The strategic partnership between Delta Corp Ltd. and Peninsula Land Ltd. represents a significant move in the Indian real estate sector, promising new developments and growth opportunities in key markets like Mumbai and Goa.