Delta Corp is postponing a planned casino resort in the north of Goa to focus instead on investment into India’s booming real estate sector.
Instead of the casino investment, Delta Corp, which runs casinos in Goa, Sikkim, Daman and Kathmandu, will invest US$12m in 1.5m shares in real estate entity Peninsula Land.
“Today, India’s real estate sector is poised for growth and presents attractive opportunities to businesses,” said Delta Corp chairman Jaydev Mody. “The industry is consolidating as regulations increase, demand grows, and customers increasingly seek established and trusted brands. Via this strategic venture with PLL, Delta is perfectly positioned to take advantage of this new phase of growth in India’s realty space.”
Delta advised: “The need for expansion in the real estate sector stems from the fact that Delta has in the past successfully executed several projects and exited profitably coupled with its promoter having over 35 years of experience in this industry.Considering that Delta’s flagship project at Dhargalim, Goa has been deferred and given its free reserves and cash flows, the company sees a compelling opportunity for long term growth in this sector.
“Delta, being the majority stakeholder, through its joint venture, proposes to execute projects mainly in Mumbai and Goa and will continue with its philosophy of running a debt free company.”