DLF shares surge 4 per cent on plans of acquiring majority stake in Fairleaf

The shares of India’s leading real estate developer, DLF Limited, were up by more than 4 per cent during the early trade on Monday after the company revealed its plans to acquire a 51.8 per cent stake in Fairleaf, a joint venture company, which owns and operates One Horizon Center in Gurugram.  

One Horizon Center is a mixed-use development located in DLF 5, Gurugram, which offers high-end Grade A office spaces along with complementary retail space, spanning the total area of around 8,13,000 square feet.  

Currently, DLF owns a 48.2 per cent stake in Fairleaf Real Estate Private Limited and plans to acquire an additional stake in a share purchase agreement for a total consideration of Rs 780 crore, subject to closing adjustments.   

The transaction, which is expected to be completed in the next quarter, will give complete ownership of the asset to the company, adding Rs 150-Rs 160 crore of rental revenues according to Sriram Khattar, MD of the rental business at DLF.   

At 11 am on Monday, the stock of DLF Limited was trading at Rs 235.90 per share, up by 4.33 per cent or Rs 9.80 per share on BSE, against a 0.49 per cent gain in the benchmark index. The 52-week high was recorded at Rs 266.65 while its 52-week low was Rs 114.50 on BSE.