Max Estates has approved the acquisition of nine land-owning companies holding an approximately 84.71-acre land platform in Sector 3, Najafgarh, Delhi. The board sanctioned the deal on August 28, 2026, structuring it as a single integrated transaction that marks the company’s entry into the NCT Delhi residential market.

The company will acquire the entire ownership interest in the target entities through a preferential issue of equity shares for consideration other than cash. This share swap involves the allotment of up to 70,33,162 fully paid-up equity shares at an issue price of ₹597.50 per share.

Transaction Structure

The total consideration for the acquisition aggregates to ₹4,20,23,14,295. Max Estates will issue these shares to the identified allottees based on share-exchange ratios determined on a fully diluted basis. These ratios are supported by a valuation report dated August 28, 2026, issued by KPMG Valuation Services LLP.

Motilal Oswal Investment Advisors Limited provided a fairness opinion on the valuation and share-exchange ratios on the same date. The underlying land was valued at ₹4.95 crore per acre based on reports from Cushman & Wakefield India Private Limited and iVAS Partners.

Strategic Rationale and Pipeline Impact

The acquisition unlocks an estimated Gross Development Value (GDV) of ₹10,000-12,000 crore over the next few years. This adds to Max Estates' existing residential pipeline of ₹16,150 crore as of Q2FY27. The transaction extends the company’s footprint beyond its existing Noida and Gurugram portfolio into Delhi for the first time, diversifying its geographic base across all three core NCR markets.

The land sits at the heart of Delhi's westward urban expansion under Master Plan 2047. It is served by the newly commissioned Urban Extension Road-II (UER-II) and the Delhi Metro Grey Line. The parcel is large enough to be developed in phases over a multi-year horizon, providing forward visibility without repeated fresh land acquisitions.

Regulatory Approvals

The transaction requires approval from the members of Max Estates at an extra-ordinary general meeting proposed for September 24, 2026. The relevant date for the preferential issue is August 25, 2026, as per Regulation 161 of the SEBI ICDR Regulations.

The deal is also subject to in-principle approvals from BSE Limited and the National Stock Exchange of India Limited before allotment. The board approved the execution of the Share Purchase and Share Subscription Agreement with the shareholders and holders of compulsorily convertible debentures of the land-owning companies.

What the Numbers Show

The acquisition price implies a valuation of approximately ₹4.95 crore per acre, which the company states is materially below prevailing licensed land values. By opting for a share swap rather than a cash transaction, Max Estates preserves its immediate liquidity while expanding its land bank. The issuance of over 70 lakh new shares represents a significant dilution event, linking the future value of this asset directly to the company’s equity performance. With cash and cash equivalents of ~₹1,727 crore as of June 2026, the non-cash structure allows the company to retain capital for other opportunities while securing a low-cost land entry into Delhi.

Max Estates has scheduled a meeting of its Board of Directors for Friday, August 28, 2026, to consider and approve the issue of equity shares by way of preferential allotment.

The corporate action is subject to applicable laws and requires regulatory approvals, including shareholder consent. The company disclosed this pursuant to Regulation 29 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Trading Window Closure

In connection with the proposed preferential issue, the trading window for dealing in shares of the company remains closed for all designated persons. This restriction applies to promoters, directors, key managerial personnel, designated employees, and other connected persons.

The trading window will remain closed until Sunday, August 31, 2026.

Regulatory Compliance

The disclosure was signed by Abhishek Mishra, Company Secretary and Compliance Officer, on August 25, 2026. The company’s registered office is located in New Delhi, while its corporate office operates from Noida.