DB Realty, Prestige Estates gain up to 5% on project deal

NEW DELHI: Shares of DB Realty and Prestige Estates gained up to 5 per cent in Tuesday’s trade after the latter bought 1,32,854 equity shares, representing 28.99 per cent stake in one of DB Realty’s commercial project for an unknown amount.

The joint venture entity will develop a mixed-use project with total 200 hotel rooms, while the rest will be office space. The deal marks Bangaluru-based Prestige Estates Projects’ entry into the Mumbai commercial market.

DB Realty closed 4.89 per cent higher at Rs 7.94 on BSE. Prestige Estates ended 2.45 per cent higher at Rs 297.35.


“DB Realty has already bought out the stake held by foreign fund Trinity Capital. This was a precursor to the deal between Prestige and DB Realty,” said one of the persons mentioned above.

The transaction is yet to be completed including the final development potential.

This is the second transaction between Prestige and DB Realty. Last month, the Bengaluru- headquartered firm had entered into a joint venture with DB Realty to develop a hospitality-led mixed use project spread over 7.7 acres land parcel in Delhi’s Aerocity.