Jan 04 2018

Fosun eyes stake in Nitesh Estates

VC Circle, January 4, 2018:      https://www.vccircle.com/fosun-eyes-stake-in-nitesh-estates-kedaara-may-invest-in-indian-school-finance/

Chinese business conglomerate Fosun Group is in advanced discussions to invest Rs 800 crore ($125 million) in Bengaluru-based real estate developer Nitesh Estates Ltd, The Times of India reported citing people aware of the development.

A deal would mark Fosun’s entry into the Indian real estate sector. VCCircle had reported last month that Fosun was exploring an entry into the Indian realty market and had initiated talks with a number of developers for acquisitions.

According to The Economic Times report, Fosun may buy around 50% stake in Nitesh Estates in its quest to build a property platform in India.

As of September 30, 2017, the promoters held 46.93% stake in Nitesh Estates with public shareholders owning the rest.

The report added that Nitesh Estates plans to issue shares to Fosun Property Holdings and its subsidiary IDERA Japan through preferential allotment.