Shriram Properties Limited has announced the acquisition of 100% equity shares of Shrivision Upscale Spaces Private Limited, making it a wholly owned subsidiary of the company. The acquisition was completed on February 9, 2026, as disclosed under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Acquisition Details

The transaction involves the complete acquisition of Shrivision Upscale Spaces Private Limited through cash consideration. The shares were acquired at ₹10 per share, representing the par value of the equity shares.

Target Company Profile

Shrivision Upscale Spaces Private Limited operates in the real estate development and construction sector. The company was incorporated under the Companies Act 2013 on December 13, 2022, and is engaged in property development business.

Strategic Rationale

Shriram Properties described the acquisition as strategic in nature and for business reasons. The transaction does not fall under related party transactions, and no promoter or promoter group companies have any interest in the acquired entity. The acquisition aligns with the company's core business of real estate development.

Regulatory Compliance

The acquisition required no governmental or regulatory approvals and has been completed as per the indicative timeline. The disclosure was made in compliance with SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/1/3762/2026 dated January 30, 2026.

The information has been hosted on the company's website at www.shriramproperties.com as part of the transparency requirements under listing regulations.

Shriram Properties Limited demonstrated resilience in its Q2 FY'26 performance, achieving significant sales growth despite regulatory challenges in Bangalore. The company reported a 39% quarter-on-quarter increase in sales volume, reaching 1.14 million square feet valued at INR 685 crores.

Key Highlights

• Sales Performance: Q2 sales volume grew by 39% QoQ to 1.14 million square feet, with a 55% increase in sales value to INR 685.00 crores.
• H1 FY'26 Performance: Cumulative sales for H1 stood at ~2 million square feet, worth INR 1,126.00 crores, reflecting a 19% year-on-year increase.
• Business Development: Added 5 new projects in FY'26 with an aggregate development potential of 2.3 million square feet and a Gross Development Value (GDV) of INR 2,350.00 crores.
• Regulatory Challenges: Revenue recognition was impacted by the division of Bangalore's municipal corporation (BBMP) into 5 entities, causing approval delays.
• Financial Performance: Q2 revenue stood at INR 229.00 crores, a 48% YoY increase, with a gross profit of INR 61.00 crores, up 34% YoY.

Regulatory Impact and Recovery

The division of BBMP into five municipal corporations effective September 2, 2025, temporarily affected the real estate sector in Bangalore, impacting approvals, completion certificates, and eKhata issuances. This transition affected Shriram Properties' revenue recognition, particularly in completed projects awaiting final approvals.

Gopalakrishnan J, Executive Director and CEO, stated, "With governance stabilizing and normalcy returning from end-October, the outlook for H2 looks robust. New corporations have started functioning, approvals are moving, and many of our pending OCs have started flowing now."

Future Outlook

The company remains optimistic about its H2 FY'26 performance:

• Strong Pipeline: Over 2,800 units are ready for handover, with a revenue recognition potential exceeding INR 1,000.00 crores.
• Launch Plans: A high-confidence launch lineup of ~2.7 million square feet, with a GDV of nearly INR 2,200.00 crore across Bangalore, Chennai, and Kolkata.
• Market Expansion: Successful entry into the Pune market, with plans to establish 4-5 projects before considering expansion into other markets.

Financial Position

Shriram Properties maintains a strong balance sheet with a net debt of INR 407.00 crores and a net debt to equity ratio of 0.29x. The company's cost of debt has reduced to 11.1%, and it continues to enjoy an A- positive outlook rating from CRISIL.

Management Commentary

Murali M, Chairman and Managing Director, commented, "Despite temporary headwinds on the financial side due to regulatory transitions in Bangalore, our fundamentals remain robust, and we are confident of delivering a strong second half and achieving our full-year goals."

The company reaffirmed its FY'26 guidance and remains committed to its "Mission 1234" targets for FY'28, aiming for significant value creation for shareholders.

As Shriram Properties navigates through regulatory challenges and focuses on expanding its project pipeline, the company appears well-positioned to capitalize on the strong demand in the mid-market and mid-premium residential segments across its key markets.