Mahindra Group Announces Dedicated Strategic Focus on Holidays and Lifespaces Sector to Accelerate Growth

Over the last 5 years, our Group has seen significant momentum across all its businesses. An important pillar of this growth has been our "Growth Gems". Several of these businesses have surpassed the 5X growth expectation over this period and are well positioned to achieve further growth.

Our real estate business, Mahindra Lifespaces, has been one of our standout Growth Gems. Since FY20, the residential pre-sales in this business have grown 5X from ~700 Cr to ~3500 Cr. In the last 3 years alone, the business has grown its gross development value (GDV) from 8K Cr to 50K Cr, which sets it up to achieve 14X pre-sales growth in this decade. The Industrial segment of the business has also delivered strong performance during this period. Overall, the business has progressed from losses to profits of ~300 Cr in the previous financial year.

During the same period, our Hospitality business, Mahindra Holidays, has also made significant progress. With over 3 lakh vacation ownership members, the business is a leader in this space and has added over 1700 rooms. The business is expanding from vacation ownership into leisure hospitality, with the aspiration of becoming India's leading hospitality player. We recently launched Mahindra Signature Resorts, which is our entry into luxury hospitality.

Dr. Anish Shah, Group CEO & MD, Mahindra Group, said, "Both Holidays and Lifespaces businesses have tremendous potential. As we move into the next phase of growth, we have been evaluating how to harness the synergies between them to further strengthen the growth trajectory. In this context, we are pleased to announce a dedicated strategic focus on Holidays and Lifespaces sectors aimed at accelerating growth and realising operational synergies across these identified Growth Gems."

Amit Sinha, the current MD & CEO of MLDL will be appointed as CEO-Holidays and Lifespaces Sector, from a future date to be determined. He will move into this role once a new CEO is appointed at Mahindra Lifespaces. The leadership and reporting arrangements for the relevant businesses will be aligned as part of the implementation of the new sector structure.

Shares of Mahindra Lifespace Developers Limited was last trading in BSE at Rs. 386.95 as compared to the previous close of Rs. 386.10. The total number of shares traded during the day was 7270 in over 578 trades.

The stock hit an intraday high of Rs. 395.50 and intraday low of 385.00. The net turnover during the day was Rs. 2825081.00.

Source : Equity Bulls

Keywords

MahindraLifespaceDevelopers INE813A01018 Realty