Prestige Estates Projects Ltd. has entered into an investment agreement to acquire a 50% stake in Advent Convention and Hotels International Limited for ₹504 crore in cash, as reported by CNBC TV18, Business Standard, and The Economic Times. The transaction was executed on July 3, 2026, and will convert the target entity into a 50:50 joint venture to facilitate the development of a commercial project in Mumbai. The acquisition will be completed by the company and/or its wholly owned subsidiary and is expected to be finalised within 45 days from the date of the agreement, unless the parties mutually agree to extend the timeline. Following completion, Advent Hotels will retain the remaining 50% economic and voting rights in the subsidiary, with the company continuing to hold equal ownership and control alongside Prestige Estates.
The project will be developed on land measuring 21,978.22 square metres at Sahar in Andheri East, Mumbai, with an approximate leasable area of 1.50 million sq. ft. and an estimated Gross Development Value of around ₹4,500 crore, according to the regulatory filing. Advent Convention and Hotels International Limited, incorporated in 2024, is engaged in real estate development and is currently undertaking the development of this commercial project in Mumbai. The land, owned by Esteem Properties, has been assigned for the project, with ACHIL serving as the special purpose vehicle for development. The joint venture structure ensures equal economic and voting rights for both parties in the development process.
The acquisition is not a related-party transaction, and the company's promoter or promoter group has no interest in the deal, as reported by CNBC TV18. The consideration for the acquisition will be entirely in cash, with no governmental or regulatory approvals required for the acquisition. The target company reported nil turnover for FY26 and FY25, and the transaction is subject to the fulfillment of customary terms and conditions. The deal represents a transformative move for Advent Hotels, particularly given its recent demerger from Valor Estate, establishing a high valuation benchmark for its remaining land parcels.
Advent Hotels shares surged as much as 15% on Monday, with the stock trading at around ₹161.10 apiece during the morning session on the NSE, representing a 14.6% gain from previous levels. The stock has gained 6.45% over the past week, significantly outperforming the 1.78% rise in the Nifty 50 during the same period. However, despite recent gains, the stock has declined 32.8% since the start of 2026 on the NSE. The company had a market capitalisation of about ₹808.6 crore at the time of writing, with the ₹504 crore inflow providing substantial liquidity and valuation support for the project development.
The Sahar/Andheri East micro-market is evolving from a pure-play airport hospitality zone into a premium integrated commercial hub, with land availability at a premium. The ₹504 crore entry price for a 50% stake justifies the value, as 5-acre contiguous parcels for mixed-use development are rare. Prestige's entry into this market follows their broader strategy of expanding from Bengaluru into the high-margin Mumbai commercial landscape. The partnership with Prestige Estates adds institutional credibility and execution certainty, with the project targeted for completion within mid-2028 timeline. Market participants expect the transaction to strengthen Advent Hotels' balance sheet through the substantial cash inflow while bringing in an experienced development partner for its commercial real estate project.
