Private equity giant Blackstone Group is set to acquire Embassy Industrial Parks for Rs 5,250 crore ($700 million) from Warburg Pincus and the Embassy Group.
“The transaction between Blackstone, Warburg Pincus and Embassy Group has been finalised with all the key contours and is expected to be announced in the next few days,” a source told The Economic Times. Embassy Industrial Parks has 22 million sq ft of assets.
Moneycontrol could not independently verify the report.
The deal will make Blackstone the biggest warehousing landlord and retail asset owner in India. It would also be India’s first large private equity (PE) transaction of 2021 and the largest ever logistics and warehousing deal in the country.
Of Embassy Industrial Parks’ 22 million sq ft assets, 3.5 million sq ft is leased to clients like Rhenus Logistics, Myntra, Mahindra Logistics, FirstCry, Delhivery and Amazon. Its assets include warehouses in Sriperumbudur (Tamil Nadu), Hyderabad, Hosur (Tamil Nadu), Farrukhnagar (Delhi-NCR), Chakan (Pune), Bilaspur and land in Bengaluru.
Warburg, Embassy and Blackstone did not respond to queries, the report said.
Blackstone counts logistics among its largest asset class, with over $55 billion investment and 575 million sq. ft of warehousing space. It has emerged as an aggressive institutional investor in India’s real-estate space with more than $50 billion worth of assets. It is also India’s largest office-holder with 118 million sq. ft assets in six cities.
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