HDFC acquires 25 per cent stake in hostel operator

Housing Development Finance Corporation Limited has signed an agreement to acquire 30,52,469 equity shares of Re. 1 each of Good Host Space from Manipal Integrated Services.

The financial behemoth informed the exchange that the deal represents 25 per cent of Good Host's share capital for a consideration of Rs. 69.5 lakh crore.

Good Host Space Private Limited operates student hostel facilities in Jaipur, Manipal and near Bengaluru. In Jaipur the company is appointed by Manipal University, Jaipur (MUJ) and Manipal Global Education Services (MAGE). The facility has 2,988 rooms. While the facility in Manipal is for TA Pai Management Institute (TAPMI) and has 633 rooms. The company own 2 hostel facilities in Begur Hobli, in South Taluk Bengaluru, with a combine capacity of more than 1,000 rooms. For FY17-18, the company posted a turnover of Rs. 531 million.

On Tuesday, the stock of HDFC Limited closed at Rs. 1,912.70 per share, 0.38 per cent on BSE exchange. While the BSE Sensex was at 38,285.75 just managing to close in positive.