Mumbai-based realtor The Phoenix Mills Ltd has acquired the entire 19.36 per cent stake held by MTX Hotels Pvt Ltd, Amitabh Tayal and Priyank Tayal in Gangetic Hotels Pvt Ltd for an undisclosed amount.
In a stock market disclosure, Phoenix Mills said Gangetic Hotels has now become its subsidiary.
Gangetic Hotels was till now jointly promoted by Phoenix Hospitality Company Pvt Ltd, Priyank Tayal and Amitabh Tayal.
The hotels company has developed Courtyard by Marriott in Agra. The 196-room hotel started operations early this year.
As of March 31, 2015, Phoenix Mills held a 23.61 per cent stake in the hotel company. It is not clear when did it buy more shares of the firm.
Phoenix Mills is the country’s fifth-largest property developer by market value. In July, the realtor raised Rs 282.6 crore ($44.7 million) through a qualified institutional placement to fund growth opportunities, reduce debt and for general corporate purposes.
In a conference call in August, Shishir Shrivastava, joint managing director and CEO of global initiatives at Phoenix Mills, said that the company was looking for some greenfield mall development opportunities and acquisitions of existing malls and that it would fund these initiatives through the proceeds of the institutional placement.
On Tuesday, shares of Phoenix Mills rose 1.5 per cent to close at Rs 326.30 in a strong Mumbai market.