Phoenix Mills’ Acquisition of CPP Investments Stake

The Phoenix Mills Ltd is set to acquire a 49% stake in its joint venture, Island Star Mall Developers Pvt Ltd (ISMDPL), from Canada Pension Plan Investment Board (CPP Investments) for ₹5,450 crore. This move will increase the company’s ownership in ISMDPL to 100%, up from the current 51%. The transaction, approved by the board, involves paying CPP Investments in four tranches over three years through options such as equity acquisition, dividends, share buybacks, or capital reduction. ISMDPL owns high-performing assets including Phoenix MarketCity Bengaluru and mixed-use developments in Pune, Bengaluru, and Indore. With a total portfolio of around 4.5 million sq ft and a turnover of ₹919.73 crore in the last fiscal year, the acquisition aligns with The Phoenix Mills’ strategy to consolidate control over key assets and drive long-term value. The company, which operates across retail, hospitality, commercial, and residential sectors, aims to strengthen its position in India’s premium real estate market through this strategic consolidation.