Shares of Lemon Tree Hotels jumped on Friday morning after the company agreed to enter into a joint venture with Magnolia Grove Investment, an affiliate of Warburg Pincus group. Lemon Tree Hotels share price gained by more than 14 per cent to hit the day’s high at Rs 77.80. The stock has been gaining for the last two days and has risen 8.78 per cent in the period.
The stock was trading up 5.80 points, or 8.43 percent, at Rs 74.60 on BSE at the time of reporting. On Thursday, stocks of Lemon Tree Hotels closed on Rs 68.65, up 0.44 per cent from the last close.
The JV Hamstede Living Private Limited will construct, acquire, develop, operate and lease short and long-stay real estate projects, with a primary focus on student housing, co-living for working professionals/adults and multi-family users. The joint venture has been formed to develop rental housing projects envisaging investments of Rs 3,000 crore over a period of time.
Meanwhile, BSE benchmark Sensex Friday rallied over 300 points and NSE Nifty reclaimed the 10,800 mark on firm global cues, heavy foreign fund inflow and strengthening rupee in the early trade. Extending gains for the third session, the 30-share index was trading 306.16 points, or 0.86 per cent, higher at 36,113.44. The broader Nifty too jumped 86.75 points, or 0.80 per cent, to 10,866.55 .