CPPIB invests additional Rs 938 cr in Island Star Malls

Canada Pension Plan Investment Board (CPPIB) has invested an additional Rs 938 crore into Island Star Malls Developers (ISMDPL), the strategic investment platform it co-owns with The Phoenix Mills.

Through this second tranche of Rs 938 crore, CPPIB has increased its investment into ISMDPL to a total of Rs 1,662 crore, for a 49 percent ownership stake, with Phoenix Mills owning the balance 51 percent stake, the company said in a statement issued here.

"The additional funding will allow ISMDPL to undertake new developments and acquisitions, creating new retail-led mixed-use assets that will offer superior shopping and entertainment experiences," it said.

Commenting on the development, CPPIB managing director, head of real estate investments-Europe Andrea Orlandi said, "The investment platform we have created with Phoenix Mills is executing well, and we are pleased to fund the second tranche of the commitment that will allow us to further expand our retail-focused investment platform."

He further said through this platform, CPPIB has identified strategic assets over the last 12 months that will help it expand the retail portfolio in India, allowing it to participate in the growing retail sector in India.

Since the inception of the platform, ISMDPL has acquired a land parcel in Pune (Wakad), and is exploring other investment opportunities.

"In April last year, when Phoenix co-created the investment platform with CPPIB, we had envisaged to fully deploy the money within one year. I look forward to this new journey for us where we will continue to create marquee retail destinations," said Atul Ruia, joint managing director, Phoenix Mills.