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Embassy group in talks with Blackstone to sell warehouse biz for Rs 1,800 cr enterprise value
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Embassy group in talks with Blackstone to sell warehouse biz for Rs 1,800 cr enterprise valuePTI
Last Updated: Apr 09, 2021, 05:32 PM IST
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In 2015, the Bengaluru-based Embassy group had formed a joint venture with private equity firm Warburg Pincus to build industrial parks. Warburg Pincus has a 70 per cent stake while the Embassy group has a 30 per cent shareholding in the joint venture firm Embassy Industrial Parks.
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Embassy Group already has around 14 per cent stake in Mumbai-based IBREL, which is part of the Indiabulls group.
Realty firm Embassy group is in the advance stage of talks with global investment firm Blackstone to sell its warehousing and industrial parks business at an enterprise value of around Rs 1,800 crore, sources said. In 2015, the Bengaluru-based Embassy group had formed a joint venture with private equity firm Warburg Pincus to build industrial parks. Warburg Pincus has a 70 per cent stake while the Embassy group has a 30 per cent shareholding in the joint venture firm Embassy Industrial Parks. According to sources, the Embassy group is in discussion with the Blackstone group for the complete divestment of the JV firm.
Embassy group in talks with Blackstone to sell warehouse biz for Rs 1,800 cr enterprise value freepressjournal.in - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from freepressjournal.in Daily Mail and Mail on Sunday newspapers.
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The initial public offering (IPO) of Brookfield India Real Estate Trust (REIT), which opened on 3rd February and will close on 5th February, aims to raise Rs3,800 crore through the issuance of fresh units. This will be the third such public offering after Embassy Office Parks REIT, a joint venture between Bengaluru-based Embassy group and private equity giant Blackstone, and Mindspace.
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According to sources, the REIT could raise anywhere between $500 million and $600 million. A floor price of Rs 348.38 per unit has been approved by the firm for the institutional placement, according to a notification to the exchanges. Promoted by US-based fund manager Blackstone and Bengaluru-based Embassy group, the REIT was listed last year. It manages around 33 million sq ft of assets in fhe country. Recently it bought Embassh Tech Village from Embassy for $1.3 billion. It owns properties in Bengaluru, Mumbai and Pune among other cities. The Raheja and Blackstone JV listed the second REIT in the country. Recently Brookfield Asset Managedment filed DRHP for its REIT in the country.