Comments
Less than a month after Warburg Pincus made its investment, Piramal Realty has received another tranche of funding from global investment banker, Goldman Sachs, which has pumped in $150 million (Rs 900 crore) for a minority stake in the company.
The funds will be used to expand the company’s current real estate portfolio and acquire prime properties in and around Mumbai.
Anand Piramal, ED, Piramal Group said, “As one of the leading investors in global real estate, Goldman Sachs has helped develop some of the world’s finest buildings such as 15 Central Park West in New York and 16 Colleyers Quay in Singapore. Their experience and expertise will further inspire us to build world-class developments in India and achieve the highest standards of design, technology, quality, execution, and customer service.”
In tandem with this investment, Piramal Realty has announced plans to launch a first-of-its-kind buyback guarantee called ‘Piramal Assurance’.
Subsequently, the company will offer to buy back any residential unit from a customer at a five per cent discount to the market value until possession should a buyer not be satisfied.
Piramal said, "For most customers, buying a home is their single largest and most important investment. Our ‘Assurance’ will reduce the financial risk of the purchase and provide peace of mind for customers, who will know that their investment is safe and liquid”.
Piramal Realty has over 10 million square feet of commercial and residential projects under development in prime areas of Mumbai.
Last month, Warburg Pincus had made an investment of Rs 1,800 crore in Piramal Realty, making it one of the largest FDIs.
Ankur Sahu, co-head of private equity, Goldman Sachs in Asia said, “This investment is consistent with our ongoing strategy of partnering with India’s leading entrepreneurs to invest in sectors critical to the country’s development. The government's focus on simplifying regulation and boosting economic growth will kickstart investment and consumption.”
Since 2006, the Goldman Sachs has deployed more than $2.5 billion in the country. Globally, Goldman Sachs is one of the largest real estate investors in the world and has invested approximately $43 billion in the sector.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.