Phoenix Mills Share Price Rises as CCI Clears ₹5,450 Crore Island Star Stake Buy

Market Performance

Phoenix Mills share price edged higher on Tuesday, August 20, after the company received approval from the Competition Commission of India for its planned stake acquisition in Island Star Mall Developers Pvt Ltd (ISMDPL).

At 9:35 a.m., Phoenix Mills shares were trading at ₹1,512.9, up 0.6% on the NSE.

Main News

The CCI has cleared Phoenix Mills Ltd.’s proposed ₹5,450 crore acquisition of a 49% stake in ISMDPL.

Currently, Phoenix Mills holds 51% ownership, while the remaining 49% is with Canada Pension Plan Investment Board (CPP Investments). Once the transaction is completed, CPP Investments will exit, making Phoenix Mills the sole owner of ISMDPL.

The acquisition will be executed in four tranches spread over 36 months, in compliance with regulations. The total consideration payable to CPP Investments is about ₹5,449 crore.

Company Details

• Ownership Change: Phoenix Mills to increase its stake from 51% to 100% in ISMDPL.
• Deal Value: Approximately ₹5,450 crore.
• Payment Terms: Structured in four tranches over three years.
• Transaction Route: Combination of buyback, capital reduction, dividend payout, and/or secondary purchase by Phoenix Mills and its affiliates.

ISMDPL is engaged in commercial and retail real estate development across select cities in India, strengthening Phoenix Mills’ retail-led mixed-use development portfolio.

Summary

Phoenix Mills share price saw a mild uptick after CCI approved its ₹5,450 crore deal to acquire full control of ISMDPL. The transaction will see CPP Investments exit, paving the way for Phoenix Mills to consolidate ownership in its mall development venture. The staggered payments over 36 months mark a key milestone in Phoenix Mills’ growth journey within India’s retail and commercial real estate sector.