Mahindra Lifespace's arm joins hands with Sumitomo Corp; Stock gains 5%

The stock surged after its subsidiary, Mahindra World City Developers, launched the second phase of its industrial parks project in Tamil Nadu, in partnership with Japan's Sumitomo Corporation

Shares of Mahindra Lifespace Developers, the real estate and infrastructure development arm of the Mahindra Group, jumped 5.58 per cent to Rs 461.25 during intraday trade on Monday. Approximately 0.26 million shares of the company, worth Rs 12.58 crore, were traded on the NSE and BSE combined.

 

The uptick in the company's stock followed the announcement that its subsidiary, Mahindra World City Developers (MWCDL), has launched the second phase of its industrial parks project in Tamil Nadu under the brand 'Origins by Mahindra,' in partnership with Sumitomo Corporation, Japan.

 

According to a release, "The Joint Venture Agreement originally signed in 2015 with Sumitomo Corporation was further strengthened today through a Supplemental Agreement, which involves an investment of approximately Rs 225 crore by MWCDL and Sumitomo Corporation, Japan, in Mahindra Industrial Park Chennai (MIPCL), in proportion to their existing shareholding."

 

Commenting on the development, Amit Kumar Sinha, Managing Director & CEO, Mahindra Lifespace Developers, said, "At Mahindra Lifespaces, we take pride in developing industrial clusters and integrated cities that drive economic growth and support businesses. Our partnership with Sumitomo Corporation reflects our commitment to fostering progress and enabling industries to thrive sustainably."

 

As a real estate and infrastructure development arm of the Mahindra Group, Mahindra Lifespace Developers has a development footprint spanning 35.06 million square feet of completed, ongoing, and forthcoming residential projects across seven Indian cities, and over 5,000 acres of ongoing and forthcoming projects under development/management at its integrated developments/industrial clusters across four locations.

 

As of November 25, 2024, the company's market capitalisation stood at Rs 7,465.69 crore on the NSE. Mahindra Lifespace Developers shares have a 52-week range of Rs 678.80-Rs 453.10 on the NSE.

 

At around 2:47 PM on Monday, shares were trading at Rs 481.45, up 4.38 per cent from the previous close of Rs 461.25.

 

Meanwhile, benchmark equity indices also traded higher by over 1 per cent. The BSE Sensex was at 80,171.44, up 1,054.33 points or 1.33 per cent, and the NSE Nifty50 was at 24,254.75, up 347.50 points or 1.45 per cent.