Lodha Developers, Oberoi Realty shares fall up to 6% after block deals

New Delhi: Shares of Oberoi Realty and Lodha Developers saw large block deals worth USD 395 million (Rs 3,412 crore) on the stock exchanges, dragging the shares of two real estate majors down by up to 6 per cent on Wednesday.

The deals, executed via open market transactions, involved the sale of institutional stakes in both companies.

In case of Oberoi Realty, around 11 million or 1.1 crore equity shares -- equivalent to 3 per cent of the company’s equity -- changed hands for USD 230 million (Rs 1,987.02 crore ) at a floor price of Rs 1,753.20 per share, reflecting a 4 per cent discount to the previous close, as per a term sheet accessed by PTI.

Following the stake sale, shares of the Oberoi Realty fell 4.16 per cent to Rs 1,750.20 apiece on the NSE.

Goldman Sachs acted as the sole placing agent for both transactions.

Similarly, Mumbai-based Lodha Developers saw a block deal of around 9.8 million shares or 98 lakh shares, representing 1 per cent of its stake -- being sold for USD 165 million (Rs 1,424.97 crore). The floor price for the Lodha block deal was pegged at Rs 1,384.60 per share, also translating to a 4 per cent discount to the previous close on the bourse.

Following the deal, the scrip of Lodha Developers declined by 6.64 per cent to Rs 1,346.50 per piece on the National Stock Exchange (NSE).

"No confirmation was given on the identity of the seller or potential buyers, market participants expect the offloaded stakes to be picked up largely by domestic and foreign institutional investors, given the deal structure and volumes involved," sources said.

Both block deals were executed as part of a clean-up trade by an existing stakeholder. The trades were conducted under Rule 144A and Regulation S guidelines, commonly used for placements to institutional and offshore investors, they added.

Meanwhile, the selling pressure reflected in the NSE's Nifty realty index with all of its constituents trading in the red. The index fell 2.90 per cent to trade at 967.15, dragged down by losses in major stocks including Macrotech Developers (Lodha) and Oberoi Realty, which led the decline.

Godrej Properties and Prestige Estates also witnessed significant losses, each shedding over 2 per cent in intraday trade.

On Monday, Oberoi Realty reported a 28 per cent decline in its consolidated net profit to Rs 421.25 crore for the quarter ended in June on lower income.

The net profit stood at Rs 584.51 crore in the year-ago period. Its total income fell to Rs 1,073.98 crore in the first quarter of this fiscal from Rs 1,441.95 crore in the corresponding period of the preceding year.

On the operational front, the company has sold properties worth Rs 1,639 crore in the April-June quarter of 2025-26 fiscal.