Puravankara shares hit a fresh 52-week high, rally 80% in three weeks

According to a report, Godrej Fund is in talks with Bengaluru-based developer for Rs 1,200 crore deal.

Shares of Puravankara hit a fresh 52-week high of Rs 78.90, up 4 per cent on the BSE in intra-day trade on Thursday after reports said that Godrej Fund is in talks with Bengaluru-based developer for Rs 1,200 crore deal.

In the past three weeks, the stock price of Puravankara has rallied 80 per cent from the level of Rs 43.80 on November 5. In comparison, the S&P BSE Sensex gained 6 per cent during the same period.

According to a Business Standard report, Godrej Fund Management (GFM), the private equity arm of Godrej Group, is in the final leg of talks with Puravankara to acquire 1 million square (sq.) feet (ft) commercial property in the Byappanahalli area of the Karnataka capital from the company.

The deal is expected to close at Rs 1,200 crore. It will be structured as a forward purchase agreement wherein the seller will sell the property at a future date at an agreed value after completing it, the report said.

While announcing September quarter results on November 13, Puravankara said the sales in ongoing projects witnessed a significant jump of around 71 per cent by volume owing to the launch of new projects i.e. Purva Atmosphere and Provident Woodfield. With the revival of economy from the impact of Covid-19 pandemic, we are seeing an uptick in sales, it said.

At 10:19 am, the stock was trading 1 per cent higher at Rs 76.80 on the BSE, against 0.09 per cent decline in the S&P BSE Sensex. A combined around one million equity shares changed hands on the counter on the NSE and BSE.