Realty developer Valor Estate is undertaking a realignment of its business portfolio by divesting non-core assets, hiving off its hospitality business, and improving capital allocation for high-priority projects including real estate.
The planned divestment includes the sale of stake in dairy processing unit Schreiber Dynamix Dairies, a joint venture between US-based Schreiber Foods and Dynamix Dairy, and a majority stake in Sahyadri Agro and Dairy.
The proceeds of this divestment, which is likely to be concluded this quarter itself and estimated to be around Rs 260 crore, will be directed towards strengthening Valor Estate’s real estate development pipeline.
The company is also planning to demerge its hospitality business into a separate publicly listed entity, Advent Hotels International. This plan has already been admitted by the National Company Law Tribunal (NCLT), the developer said in a regulatory filing.
The demerged entity will manage high-value hospitality assets, including The Hilton Mumbai and Grand Hyatt Goa, along with planned developments in Aerocity Delhi, Mumbai’s Worli, and business district Bandra Kurla Complex (BKC).
“The entire business realignment strategy is being implemented to focus on high-margin real estate ventures, asset optimization, and financial discipline. The divestment and demerger efforts align with the company’s broader objective of capital efficiency and long-term shareholder value creation,” said a company official.
Valor Estate specializes in brownfield development across residential, commercial, and hospitality sectors and the ongoing residential projects have a revenue potential of Rs 1,600 crores, with key developments including in Dahisar and BKC.
The BKC project, with a saleable area of 1.5 million sq ft, has secured a partial Occupancy Certificate (OC), with full delivery expected by mid-2025. The company’s upcoming residential projects in Malad west, Bandra west, and Worli are estimated to generate additional revenue of over Rs 16,000 crores.
In the commercial sector, Valor is co-developing key projects in New Delhi, Mumbai’s BKC and Mahalaxmi with a combined annuity revenue potential of Rs 1,000 crores from those under construction and an additional Rs 700 crores from upcoming projects.
Valor Estate current hospitality portfolio includes 171-key The Hilton, Mumbai and 313-key Grand Hyatt, Goa. Its 779-key portfolio across Marriott Marquis and St. Regis in Aerocity Delhi is a joint venture with Prestige Group and is currently under construction, which is expected to be completed in 2026-27.
It is also undertaking expansion of 73 more keys in the Grand Hyatt Goa hotel entailing an outlay of Rs 200 crores and is expected to be completed by 2026-27. It has two more hotels with 960 keys and a 200-key service apartment project in Mumbai’s Worli and BKC in the pipeline.
The hospitality division is expanding with a targeted portfolio of 3,211 keys across Mumbai, Delhi, and Goa by 2030-31. The company’s debt-equity ratio stands at 0.32:1 as it follows an asset-light model, focusing on land aggregation and strategic partnerships for capital deployment.
