Devyani International shares rise 3% on additional stake acquisition in Biryani by Kilo for Rs 106 crore
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Shares of Devyani International Ltd (DIL) surged by 3.4% in early trade to their day’s high of Rs 172.40 on the BSE on Tuesday, June 24, after the company announced plans to acquire an additional stake in Sky Gate Hospitality, the parent company of Biryani By Kilo, for up to Rs 106.25 crore. The acquisition will be carried out through a combination of subscribing to new equity shares and purchasing shares from the promoter group. This is expected to increase Devyani’s stake in Sky Gate from the current 80.72% to 86.13% on a fully diluted basis. In an exchange filing, the company confirmed that it has executed a share subscription agreement and shareholders’ agreement with Sky Gate and its promoters, along with a share purchase agreement to acquire the additional stake in one or more tranches. Devyani International stated that the move aims to facilitate further investments in Sky Gate and its subsidiaries—Blackvelvet Hospitality, Say Chef...