Kolte-Patil Developers shares rise over 3% on allotting shares to Blackstone

Shares of the Pune-based real estate developer, Kolte-Patil Developers, rose as much as 3.21% to hit an intraday high of ₹472 before paring gains after the company post market hours on Tuesday informed exchanges that it has allotted 1,26,75,685 equity shares of the company to BREP Asia III India Holding Co VII Pte. Ltd. (Blackstone).

The Kolte-Patil Developers on a private placement basis allotted shares to Blackstone at ₹329 for a total consideration of ₹417 crore.

Meanwhile, fair trade regulator Competition Commission of India (CCI) on Tuesday cleared global asset manager's proposal to acquire a majority stake in Pune-based realty developer.

US-based Blackstone, through its affiliate BREP Asia III India Holding Co VII Pte Ltd, is acquiring a stake in Kolte-Patil Developers.

"The combination envisages acquisition of a 40% shareholding in Kolte-Patil Developers Ltd by BREP Asia III India Holding Co VII Pte Ltd through a combination of share subscription and share purchase," the CCI said in a release.

The transaction also envisages the acquisition of shares of the target under an open offer, it added.

"CCI approves the acquisition of a certain shareholding in Kolte-Patil Developers Limited by BREP Asia III India Holding Co VII Pte. Ltd," the regulator said in a post on X.

In March this year, Blackstone said it would acquire a 40% stake in realty firm Kolte-Patil Developers Ltd for ₹1,150 crore, entering into the Indian residential market after having significant exposure in office, shopping mall, warehousing, and data centre verticals of real estate.

Blackstone said it has launched an open offer to acquire up to a 26% stake in Kolte-Patil Developers from public shareholders for ₹758.56 crore.

As of 1:32 pm, Kolte-Patil shares traded 0.09% higher at ₹458, underperforming the SENSEX which was up 0.23%.