Lodha Developers Ltd has acquired an 80 per cent stake in Pune-based Solidrise Realty Pvt Ltd in a deal that valued the stake at Rs 2,940.7 million (mn). The company executed a share purchase agreement as part of its geographic expansion and portfolio consolidation. The acquisition will bring Solidrise Realty into the Lodha Developers group as a subsidiary.

The regulatory filing disclosed the transaction and identified Solidrise Realty as engaged in the Pune real estate market. The filing gave the cost of acquisition as Rs 2,940.7 mn and confirmed the change of control. The company described the purchase as consistent with its aim to deepen market share in Pune and accelerate local project launches. The company said the move aligns with its strategy to expand presence outside its core markets.

In the previous quarter Lodha Developers reported a one per cent increase in consolidated net profit to Rs 9,569 mn in the third quarter of the fiscal year. The comparable net profit in the year-ago period was Rs 9,444 mn. Total income rose to Rs 47,754 mn from Rs 41,466 mn in the corresponding quarter. The company said it had acquired five land parcels in Mumbai, Delhi-NCR and Bengaluru with an estimated sales value of nearly Rs 340 billion (bn).

The group said it acquires land through outright purchases and partnerships with landowners to build a strong pipeline of projects. Lodha has developed more than 100 million square feet to date and maintained a strong presence in the Mumbai Metropolitan Region, Pune and Bengaluru housing markets. Management highlighted that the combined pipeline and recent land acquisitions are intended to support medium term revenue growth and deliver a diversified portfolio. It has recently entered the Delhi-NCR residential market.