Acquisitions24 Jul 2025, 05:52 pm
Phoenix Mills to Buy Out CPP Investments from Island Star Mall Developers for Rs. 5,449 Crores
AI Summary
The Phoenix Mills Limited (PML) announced that its Board of Directors has approved the proposed transaction for the buy-out of the 49% shareholding of Canada Pension Plan Investment Board (CPP Investments) in Island Star Mall Developers Private Limited (ISMDPL). The transaction is subject to approval of the Company’s shareholders and obtaining regulatory approvals. Post completion, PML’s ownership in ISMDPL will increase from 51% to 100%. The aggregate consideration payable to CPP Investments for the proposed transaction is approximately Rs. 5,449 crores. The transaction will be implemented through a mix of buyback, capital reduction and dividend payout by ISMDPL and/or secondary purchase by PML and / or its affiliates.
Key Highlights
- Phoenix Mills to buy out CPP Investments from Island Star Mall Developers for approximately Rs. 5,449 crores.
- The transaction is expected to be earnings-accretive and capital-efficient from first year itself.
- PML to consolidate full ownership of a portfolio of high-quality, retail-led mixed-use assets across key Indian cities.
- ISMDPL reported EBITDA of Rs. 617 crores in FY25, expected to grow meaningfully over the next 4-5 years.
- PML is India’s leading owner, operator and developer of retail-led mixed-use destinations.