DLF Ltd’s shares rallied to a fresh 52-week high on February 21 after the real estate company’s wholly-owned subsidiary, DLF Home Developers, acquired land parcels in Gurugram worth Rs 1,241 crore.

DLF’s shares hit a 16-year high of Rs 896.75 on Wednesday, 3.80% higher than its previous closing price on the National Stock Exchange (NSE). At 02:40 pm, the stock was trading 2.43% higher at Rs 884.90. 

In an exchange filing dated February 21, DLF informed that DLF Home Developers Ltd had inked a settlement agreement with Axis Trustee Services Ltd and IREO Pvt Ltd, including its affiliates, for the acquisition of land parcels in Gurugram, Haryana, measuring 28.49 acres for a total consideration of Rs 1,241 crore.

DLF’s arm acquired the land under the provisions of the SARFAESI Act, and the total development potential of this land, based on all eligible floor area ratios, would be 7.5 million square feet.

Out of the 28.5 acres of land, the registration and transfer of the first tranche of 19.3 acres is completed for Rs 858 crore, the exchange filing added. 

Earlier on January 25, DLF bought privately placed, listed, secured, non-convertible, redeemable bonds worth Rs 825 crore, secured by mortgage of certain land parcel(s) in Gurugram. 

The recent transaction has allowed DLF to facilitate a partial redemption of the bonds for an amount of Rs 775 crore. Further, the company would acquire the remaining land parcels subject to requisite approvals, which would facilitate the redemption of the balance amount of Rs 50 crore bonds held by the company.