Delta Corp diversifies into real estate with strategic investments

Delta Corp Ltd, known for its prominent role in the gaming and hospitality industry, is set to make significant inroads into the real estate sector through strategic investments. The publicly listed company, which operates casinos and hotels across Goa, Sikkim, Daman, and Kathmandu, plans to invest Rs 99,99,88,000 in Peninsula Land Ltd (PLL), signaling a bold move into property development.

Delta's investment in PLL involves the issuance of 1,50,00,000 equity shares and 77,27,000 compulsory convertible debentures (CCDs) at Rs 44 per share. This move is part of a broader plan that includes the establishment of a joint venture between Delta and PLL, with a capital outlay of Rs 250 crores. As the majority stakeholder in the joint venture, Delta aims to execute real estate projects primarily in Mumbai and Goa.

The decision to venture into real estate comes as Delta has successfully executed projects in the past and with its promoter boasting over 35 years of experience in the industry. The company sees a compelling opportunity for long-term growth, especially in light of the deferral of its flagship project in Dhargalim, Goa. Delta, committed to running a debt-free company, views real estate expansion as a strategic move for sustained growth.

Peninsula Land Ltd, a renowned real estate developer with over 22 years of experience, 19 successfully executed projects, and 2 under-construction projects, emerges as a suitable partner for this joint venture. PLL's strong operational performance, reducing debt by over 90 per cent in the last five years, aligns with Delta's growth objectives.

Jaydev Mody, Chairman of Delta, recognises the potential in India's real estate sector, citing attractive opportunities amid regulatory changes and increasing demand. The strategic venture with PLL positions Delta to leverage this phase of growth.

Rajeev Piramal, Vice Chairman and Managing Director of PLL, expresses enthusiasm for the new phase of growth with Delta, emphasising the unlocking of immense value in today's real estate sector.

Delta Corp Ltd, with its luxury gaming and hospitality brand Deltin', operates casinos and hotels in multiple locations, providing a holistic and unparalleled guest experience. The move into real estate marks a strategic re-entry for Delta, aligning with its commitment to diversified growth and long-term success.