December 2007

PE Investments

Shapoorji raises $290-M for SPV

Mumbai, MH-based construction firm Shapoorji Pallonji & Co. Ltd. is to raise $290 million from a clutch of foreign investors including Citigroup and the Government Investment Corporation (GIC) of Singapore in return for a 15% stake in an SPV, reports Economic Times.

The deal, arranged by HDFC Realty, includes investing in six large FDI-compliant projects, including commercial, residential and shopping malls. The projects are located in Pune, Kolkata and Nagpur.

For more information:

http://economictimes.indiatimes.com/Foreign_investors_buy_15_in_Shapoorji_SPV/articleshow/2629737.cms

http://www.shapoorji.com/indexprop.htm 

Vatika Group to raise $250-M

Gurgaon, HR-based real estate firm Vatika Group is to raise $250 million from Goldman Sachs, Wachovia Bank and Baer Capital, reports Economic Times. The funds will be used for new acquisitions and projects across the country. The financing will be completed by December 2008.

For more information:

http://economictimes.indiatimes.com/articleshow/2582891.cms

http://www.vatikagroup.com

IVR Prime to raise $75-M from Kotak PE for SPV

Kotak Mahindra Realty Fund is to invest close to $75 million (Rs. 300 crore) in an SPV to be launched by IVR Prime Urban Developers, the real estate arm of Hyderabad, AP-based listed infrastructure firm IVRCL Infrastructures & Projects Ltd., reports Economic Times. Kotak will acquire a 25% stake in the SPV, which will develop a residential township in Hyderabad.

For more information:

http://economictimes.indiatimes.com/articleshow/2609695.cms

http://www.ivrprime.com

Indu Projects raises $54-M from Red Fort Capital for SPV

Hyderabad, AP-based infrastructure development firm Indu Projects Ltd. has raised about $53.7 million (Rs. 220 crore) via a preferential allotment to real estate PE fund Red Fort Capital, reports Business Line.

Under the deal, Red Fort will acquire a 49% stake in an SPV launched by Indu for a housing project in Hyderabad. The project, which would be a mixed development — with housing and commercial enterprises — will be launched in the current financial year. Existing investors in Indu Projects include Citigroup.

For more information:

http://www.thehindubusinessline.com/2007/12/12/stories/2007121252740200.htm

http://www.induprojects.com

Assotech to raise $40-M from Canadian firm IPMG

Real estate firm Assotech Realty Pvt. Ltd. is in talks to raise $40 million (Rs. 160 crore) from Canada-based real estate PE International Property Management Group (IPMG), reports Business Line. The FDI, which will be made in phases, will be used for FDI compliant-projects including residential complexes in Gwalior and Bhubaneshwar.

For more information:

http://www.thehindubusinessline.com/2007/12/15/stories/2007121552561000.htm

http://www.assotech.in

Yatra Capital to invest $29-M in Riverbank project

Kolkata, WB-based Riverbank Holdings is to raise about $28.7 million (Rs. 117.6 crore) from Euronext-listed, real estate focused PE firm Yatra Capital for the IT SEZ portion of its Calcutta Riverside project at Batanagar. Yatra will acquire a 50% stake in the project. Spread over 25 acres, the IT SEZ will have a built-up area of 2.2 million sq ft and is expected to house IT companies from across the world.

http://www.thehindubusinessline.com/2007/12/14/stories/2007121451052300.htm

Amsri SPV raises $17-M from Indiareit

Real estate focused VC fund Indiareit Fund Advisors has acquired a 75% stake in an SPV launched by Hyderabad, AP-based Amsri Group for about $17.1 million (Rs. 70 crore), reports PTI. The SPV will develop a mixed-use realty project at Bachpally, AP.

http://www.livemint.com/2007/12/19155500/Indiareit-picks-up-75-in-proj.html

Yatra invests $7-M in JV with Ruia Group arm

Real estate focused PE fund Yatra Capital has formed a 20:80 joint venture with Atlas Hospitality Co. Pvt. Ltd., part of the Ruia Group, to develop premium star category hotel and serviced apartments in Pune, MH. Yatra will invest about $7.2 million (€4.9 million) in the JV entity, called Alliance Hospitality Services.

http://www.yatracapital.com/YATRASEVENTHANNOUNCEMENT.pdf

Yatra invests $6-M in JV with UP Asbestos

Yatra Capital, a PE fund focused on the Indian real estate sector, has acquired a 28% stake for about $5.6 million (Rs. 22.8 crore) in Gangetic Developers Pvt. Ltd., a joint venture formed with UP Asbestos Ltd. to develop a retail mall in Agra, UP.

The mall is located on the main Fatehabad Road, about 2 km from the Taj Mahal.

http://www.yatracapital.com/YATRASIXTHANNOUNCEMENT.pdf

PS Group to raise funds from Singapore firm

Kolkata, WB-based real estate PS Group is to raise funds from an unnamed Singapore-based PE firm, reports Business Standard. The PE firm will fund up to 75% of the project costs of each of the four SEZs the group is planning to build, in Chandigarh, Raipur, Jaipur and Kolkata, over the next three years. The Chandigarh SEZ will entail an investment of Rs. 300 crore while the other three SEZs will require nearly Rs 3,000 crore each.

PS Group is also planning to launch an IPO in 2008.

For more information:

http://www.businessstandard.com/common/storypage_c.php?leftnm=10&autono=306271

http://www.psgroup.in

Alliance to launch housing venture with Westport

Westport Capital is to develop a $100 million residential real estate complex in Hyderabad, AP along with real estate developer Alliance Infrastructure Pvt. Ltd.

http://tinyurl.com/ywsa95

Aparna Group forms JV with Morgan Stanley

Morgan Stanley Real Estate has formed a 50:50 joint venture with Aparna Group to develop Aparna Laketown in Hyderabad, AP, reports The Hindu. The 12 million sq ft project will comprise high-end housing and a commercial development with an integrated retail and entertainment complex.

For more information:

http://www.thehindu.com/2007/12/06/stories/2007120652862000.htm

http://www.aparnaconstructions.com
 

Other News

Israeli firm Fishman to invest $2-B in Jaipur project

Israel-based Fishman Holdings is to invest $2 billion in a project in Jaipur, RJ to build a 4 million sq m township, reports PTI. The company has bought a 600 acre plot in Jaipur for $108 million and has an option to buy more land.

http://www.livemint.com/2007/12/17113654/Israeli-firm-to-invest-2-bn-t.html

Israeli RE firms to invest $400-M in Chennai project

Israel-based real estate firms Electra Real Estate Ltd. and Property and Building Ltd. are to jointly invest $400 million in developing a residential and commercial project in Chennai, TN, reports PTI. They are in negotiations to acquire a 37.5 acre plot for $58 million.

http://www.livemint.com/2007/12/03095906/Israeli-real-estate-firms-to-i.html

QVC Realty to invest $366-M in residential projects

Bangalore, KA-based realty firm QVC Realty proposes to invest around $366 million (Rs. 1,500 crore) to develop residential townships in Bangalore and Hyderabad, reports Economic Times. The company had earlier raised funds from IIML.

http://economictimes.indiatimes.com

Red Fort Capital plans $195-M housing projects

Red Fort Capital Advisors plans to invest about $195 million (Rs. 800 crore) over the next six months in developing low-cost housing projects in India, reports Mint. The fund is looking at developing such projects in the peripheries of metros such as New Delhi, Mumbai, Chennai and Bangalore.

http://www.livemint.com/2007/11/22001153/Red-Fort-Capital-lines-up-Rs80.html

Satra Properties to raise $171-M

Real estate developer Satra Properties is to raise about $170.7 million (Rs. 700 crore) from domestic or international markets, reports The Hindu. It also plans to invest Rs. 50 crore in Sharvan Developers Pvt. Ltd.

http://www.hindu.com/thehindu/holnus/006200711291722.htm

Nitesh Estates acquires Chennai land for $154-M

Bangalore, KA-based, PE-backed real estate firm Nitesh Estates has acquired 9 acres of premium land in Chennai, TN for about $154 million (Rs. 630 crore), reports The Hindu. The church land near the city’s Boat Club area will be taken on lease for 66 years from the archdiocese of Chennai. It will be used to develop a mixed use property.

http://www.thehindu.com/2007/12/15/stories/2007121556941800.htm

Nitesh Estates to set up $98-M retail mall in Bangalore

Bangalore, KA-based Nitesh Estates, the real estate arm of PE-backed Nitesh Group, is to set up a 1 million sq ft shopping mall in the heart of Bangalore on a 5 acre land, reports Economic Times. The shopping mall, which will be the largest in South India, will come up at an investment of about $98 million (Rs. 400 crore) and will be ready towards the end of 2009.

http://www.businessstandard.com/common/storypage_c.php?leftnm=10&autono=306969

Phoenix Mills to acquire United Malls for $19.5 M

Mumbai, MH-based listed real estate firm Phoenix Mills Ltd. is to invest about $19.5 million (Rs. 80 crore) in Big Apple Real Estate, the owners of the United Malls brand, in return for a 60% stake.

For more information:

http://tinyurl.com/2aroly

http://www.highstreetphoenix.com

BCCL acquires stake in Marg Constructions

Chennai, TN-based listed construction firm Marg Constructions Ltd. has divested a stake to Mumbai, MH-based media group Bennett, Coleman & Co. Ltd. (BCCL) for an undisclosed amount.

http://timesofindia.indiatimes.com/rssarticleshow/2583132.cms

TVS Electronics to sell Chennai land

Reliance Retail, IndiaBulls, Nitesh Estates, RMZ and Lanco are among companies in the race to acquire a prime property of TVS Electronics Ltd. located at Nandambakkam near Chennai airport, reports Financial Express. Real estate consultant Jones Lang LaSalle is handling the sale of the 6.2 acre land, which is expected to fetch about $43-49 million (Rs. 175-200 crore). . http://www.financialexpress.com/news/Reliance-India-Bulls-in-race-for-TVS-property/244729/

Nanoworks to sign deal with RE funds for Nano City project

Sabeer Bhatia-promoted Nanoworks Developers is close to signing a deal with 2-3 real estate funds for its Nano City project at Panipat, HR, reports Economic Times. Nanocity, which will replicate the US’ Silicon Valley, will be ready for occupation by 2010. Already $300 million has been invested for land acquisition and an additional $1.2-1.5 billion investment will be needed for the development of infrastructure like roads and sewage system.

http://economictimes.indiatimes.com/rssarticleshow/2589159.cms

Dr. IT Planets to set up IT SEZ in Noida

Chandigarh, CH-based BPO firm Dr. IT Planets Ltd. plans to set up an IT SEZ in Greater Noida over a 10 acre land, reports Business Standard.

http://business-standard.com/common/storypage_c.php?leftnm=10&autono=305934

Ganga Expressway road project attracts 20 firms

Twenty firms have submitted initial bids for building the $9.8 billion (Rs. 40,000 crore) eight-lane access controlled expressway linking Ballia, UP with Greater Noida, UP, reports Mint. The 1,047 km long road project, called Ganga Expressway, is projected as India’s longest and biggest expressway project yet.

The firms that have applied for pre-qualification include Larsen & Toubro, Reliance Energy, DLF, IL&FS, Gammon Infrastructure Projects with Australia’s Macquarie, GMR Group, the Omaxe-GVK Group-Nagarjuna Construction consortium, the Bajaj Hindusthan-Apollo Group-DS Constructions consortium, Jaiprakash Associates, Canadian firm SNC Lavalin with Progressive Constructions, Unitech, Punj Lloyd, Oman’s Gulfar Engineering & Contracting, Zoom Developers, Australia’s Leighton Group with Oriental Construction, and PLUS Expressways, a subsidiary of Malaysia’s UEM Group.

http://www.livemint.com/2007/12/06225739/20-cos-bid-for-longest-express.html

Prestige to launch mall JV

Bangalore, KA-based Prestige Group has formed a 50:50 joint venture with an unnamed global mall operator to develop malls in India, reports Business Standard. It has also tied up with multiplex operator PVR to open and operate 60 screens in South India.

http://business-standard.com/common/storypage_c.php?leftnm=10&autono=307103

Unitech to hive off mall development business

New Delhi, DL-based real estate firm Unitech Ltd. plans to hive off its mall development business and later list it on a foreign exchange, reports Economic Times. Last year, the company had hived off its office space business as Unitech Corporate Parks and listed it on London’s Alternative Investments Market (AIM).

http://economictimes.indiatimes.com/articleshow/2598956.cms

Splendid, Aparna form JV for premium housing

Two Hyderabad, AP-based realty firms – Splendid Group and Aparna Group – have formed a joint venture called SA Habitat to cater to the premium housing segment, reports Business Line. The JV entity will develop villas and houses with a high degree of automation.

http://www.thehindubusinessline.com/2007/12/17/stories/2007121751641500.htm

Merlin, Rajathi form real estate JV

Kolkata, WB-based real estate developer Merlin Group has formed a 50:50 real estate joint venture with Chennai, TN-based export company Rajathi Group, reports Business Standard. The JV entity, called Rajathi Merlin Projects Private, will focus on projects in Tamil Nadu with an investment of about $244 million (Rs. 1,000 crore) by 2010.

http://business-standard.com/common/storypage_c.php?leftnm=10&autono=307488

DLF may form JV with Ikea

New Delhi, DL-based listed real estate firm DLF Ltd. is in talks with international home furnishing retailer Ikea to explore the possibility of a joint venture, reports Business Line. The agreement could entail Ikea taking up retail space in DLF malls across the country.

http://www.thehindubusinessline.com/2007/12/23/stories/2007122351220200.htm

Rashtriya Chemicals to develop commercial complex

Listed PSU fertilizer manufacturer Rashtriya Chemicals and Fertilisers, which owns about 800 acres of land in and around Mumbai, plans to develop a commercial complex over about 200,000 sq ft, reports Economic Times. The complex, tentatively called Priyadarshini II, will be used partially for in-house purposes while the rest will be sold commercially.

http://economictimes.indiatimes.com/articleshow/2632496.cms

DLF gets clearance for IPO of Singapore REIT

New Delhi, DL-based listed real estate firm DLF Ltd. has received regulatory approval to launch the $1.5 billion IPO of its Singapore-based REIT arm, DLF Offices Trust, reports PTI. Goldman Sachs and Lehman Brothers have been appointed as the advisor for the issue, which is slated for January.

http://economictimes.indiatimes.com/articleshow/2638831.cms

US real estate firm Mint launches TN project

Mint Homes Pvt. Ltd., part of US-based realty firm Mint Homes, Inc., has launched a $24.4 million (Rs. 100 crore) residential project in Coimbatore, TN, reports Business Standard. Besides housing, the company is looking to broaden its investments into resorts development, eco-tourism and integrated organic farms.

http://www.businessstandard.com/common/storypage_c.php?leftnm=10&autono=307961

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