Delta Corp Shares Soar 10% as Board Approves Big Demerger of Hospitality and Real Estate Business

Delta Corp shares jumped 10% to ₹142.20 today after the company announced a major move to separate its hospitality and real estate businesses. The Board approved the demerger plan on September 24, 2024, through a Composite Scheme of Arrangement.

The newly created Delta Penland Private Limited (DPPL), a subsidiary of Delta Corp, will now handle the hospitality and real estate segments. DPPL is set to become a public company, pending approvals.

Key assets under this segment include:

• Deltin Suites: A 106-room all-suite hotel with a casino in Goa.
• The Deltin: A 176-room five-star deluxe resort spread over 10 acres in Daman.
• Marvel Resorts: A 440-room hotel under advanced construction in Goa.
• Dhargalim, Goa Land: An 88-acre site planned for a resort with a water park.

Delta Corp aims to focus on its core gaming business, improving efficiency and accountability. The demerger plan still requires approval from shareholders, regulatory bodies, and will take 10-12 months to complete. Shareholders will own the same proportion in the new company as they do in Delta Corp, and shares of the new company will be listed on the stock exchange.

Delta Corp’s shares have fallen 31.5% since July 2023. Known for its luxury ‘Deltin’ casinos, Delta Corp is India’s only listed company in the gaming and hospitality space.