Max Estates Ltd, the real estate arm of the Max Group, has entered into a Share Purchase Agreement to acquire 100% ownership of nine promoter-owned land-holding companies that together own an 84.71-acre land parcel in West Delhi.
The acquisition will be completed through a non-cash share swap, allowing Max Estates to add the sizeable land parcel to its portfolio without deploying cash.
Maiden foray into Delhi
The transaction provides Max Estates with its first residential development opportunity in Delhi and diversifies its geographic presence across all three major NCR markets — Delhi, Noida and Gurugram.
The West Delhi parcel is expected to provide a multi-year, phaseable development opportunity, while strengthening land-bank visibility without requiring a cash outlay.
Management comment
“It is a landmark transaction for Max Estates. It gives us our first foothold in Delhi at a fraction of prevailing land values elsewhere in the region, and without deploying a rupee of cash,” Max Estates, Vice Chairman & Managing Director, Sahil Vachani in a letter to shareholders.
The land parcel sits at the heart of Delhi’s westward urban expansion under Master Plan 2047, with strong land-pooling momentum and improving connectivity via UER-II, Dwarka and IGI Airport,” he said.
Share Swap Funds Acquisition
Max Estates will acquire the entire ownership interest in Trophy Estates, TVP Investments, Hometrail Properties, TR Asset Ventures, Wegmans Business Park, Seven Heaven Buildmart, Vitasta Estates, Trophy Resorts & Guest Houses and Synergy Infracon.
The consideration will be discharged through a preferential allotment of 70 lakh fully paid-up equity shares of Max Estates, each with a face value of ₹10, at an issue price of ₹597.50 per share. The total consideration is valued at approximately ₹420 crore.
The share-exchange ratio has been determined based on a valuation by KPMG Valuation Services LLP, an independent registered valuer. Upon completion, all nine land-owning companies will become wholly owned subsidiaries of Max Estates.
Strong pipeline
The company currently has a residential pipeline with a Gross Development Value of ₹16,150 crore from Q2FY27 and is targeting its next phase of growth through higher presales and expansion of its development pipeline.
Max Estates said the location could benefit from improving connectivity through UER-II, Dwarka and the IGI Airport, along with land-pooling activity linked to Delhi’s Master Plan 2047.