Blackstone to buy 85% in Nitesh’s Pune mall for Rs 300 crore
Time of India, March 20, 2018: https://timesofindia.indiatimes.com/business/india-business/blackstone-to-buy-85-in-niteshs-pune-mall-for-rs-300-crore/articleshow/63374416.cms
The world’s largest private equity firm Blackstone is set to buy an 85% stake in southern property developer Nitesh Estates’ mall in Pune for about Rs 300 crore, people directly aware of the matter said.
New York-based Blackstone, which is building a portfolio of shopping malls as part of its bet on the rent-yielding real estate, will acquire shares held by Goldman Sachs in ‘Nitesh Hub’. Nitesh will retain the remaining 15% in the 1-million sq ft mall. This will be Blackstone’s third partnership deal with a Bengaluru developer after striking investments with Embassy Group and Salarpuria Sattva for tenanted office spaces. One of the sources said Blackstone was likely to repurpose Nitesh Hub (formerly known as Koregaon Park Plaza), bringing in a bigger mix of offices —, especially co-working spaces — in the tenancy mix.
Goldman Sachs is exiting the nearly three-year-old investment with a gain of over $10 million, or Rs 70 crore, sources added. TOI reported in January that Nitesh Estates was in talks with China’s Fosun Group for a capital infusion of about Rs 800 crore at the entity level.