Phoenix Mills Ltd is set to acquire the remaining 44.43% stake in Island Star Mall Developers Private Limited (ISMDPL) from Canada Pension Plan Investment Board (CPP Investments) for ₹2,757.36 crore. This follows a prior buyback by ISMDPL of shares from CPP Investments, increasing Phoenix Mills’ stake to 55.57%. Once completed, ISMDPL will become a wholly-owned subsidiary of Phoenix Mills.
Transaction Details
- Shares Acquired: 62,66,737 equity shares
- Stake: 44.43%
- Counterparty: Canada Pension Plan Investment Board
- Transaction Value: ₹2,757.36 crore
- Previous Buyback: ISMDPL bought back 2,03,40,909 shares from CPP Investments for ₹895 crore on November 11, 2025, raising Phoenix Mills’ stake from 51% to 55.57%.
Strategic Implications
- Post-transaction, Phoenix Mills will hold 100% of ISMDPL, consolidating its control.
- Full ownership strengthens Phoenix Mills’ position in real estate development, especially in shopping mall operations and management.
- Enables streamlined decision-making across ISMDPL and its subsidiaries.
ISMDPL Portfolio
ISMDPL manages Phoenix MarketCity Bengaluru and three subsidiaries operating mall properties:
- Alyssum Developers Pvt Ltd – Phoenix Mall of Millennium & Millennium Towers, Pune
- Sparkle One Mall Developers Pvt Ltd
- Insight Mall Developers Pvt Ltd
The combined ISMDPL platform has shown consistent growth in turnover over the past three years.
Financial Performance of ISMDPL
| Year | Standalone Turnover (₹ Lakhs) | Consolidated Turnover (₹ Lakhs) |
| 2024-25 | 28,362.73 | 91,973.14 |
| 2023-24 | 27,809.14 | 61,224.52 |
| 2022-23 | 26,129.94 | 30,288.47 |
Regulatory Compliance
- Structured as a related party transaction.
- Necessary approvals obtained from Audit Committee, Board, and Shareholders of Phoenix Mills.
- Valuation report for fair equity value prepared by Bansi S. Mehta Valuers LLP.
Summary
Phoenix Mills’ acquisition of the remaining 44.43% stake in ISMDPL for ₹2,757 crore, combined with the earlier buyback, positions the company for full ownership of ISMDPL. This move consolidates its mall management platform, strengthens operational control, and supports its growth trajectory in India’s retail real estate sector.
Disclaimer:
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