Goldman Sachs invests Rs 610 crore in Gurgaon-based Vatika Group

Goldman Sachs has invested Rs 610 crore in Gurgaon-based real estate firm Vatika Group to expedite construction in  a commercial project and to enable prepayment to Piramal Enterprises for the hospitality arm of the group.

The investment is a debt instrument structured as a project finance facilitating a partial refinance to Piramal Enterprises and the balance towards construction.

The global financial services giant has invested Rs 245 crore to help expedite the construction of first phase of a commercial project located on NH-8. The project will be developed in three phases.

In a separate transaction, Goldman Sachs has extended a debt facility to Vatika Hotels to the tune of Rs. 365 crore, facilitating a pre-payment to Piramal Enterprises on the same asset, it said.

In the past, Goldman Sachs had invested Rs 100 crore in 2007 towards Vatika Business Park and Rs 255 crore in 2014 in Vatika Hotels.

“We at Vatika Group envision fulfilling the rising demand of the grade A commercial spaces in Delhi NCR. Such debt instruments being extended by mature funds such as Goldman Sachs is the need of the hour ensuring completion of assets while allowing for partial refinance. The investment by Goldman will surely accelerate in delivering the project on time,” said Gaurav Bhalla, managing director, Vatika Group.

Vatika Group has delivered 42.3 mn sq ft, and has several commercial projects spread across  Delhi NCR, including MG Road, Golf Course Road, Golf Course Extension Road, Sohna Road, NH-8 and Mathura Road.