Buzzing Stock: Brokerages bet on Phoenix Mills, CLSA upgrades to BUY

Brokerages are betting big on Phoenix Mills as debt overhang eases with stake divestment in key assets. 

What has changed for Phoenix Mills?

The company has signed a deal to divest a 26.44% stake to GIC in five operational assets for Rs 1100 cr. GIC may infuse an additional Rs 4000 cr and increase its stake to 33%-36% within 12 months.

CLSA upgrades the stock to a BUY

Phoenix mill remains one of the best Covid-19 recovery plays  as per CLSA and they lift the target price from Rs 855 to Rs970 mainly due to the value accretion from the GIC deal. The brokerage also upgraded the rating from Outperform to BUY on the stock