Yatra Capital Invests $23.5 Million In Pune Shopping Centre
Fri, 07/06/2007 - 00:47 — Sahad P V
The Euronext-listed real estate investment firm Yatra Capital has announced that it has picked up a 24 per cent stake in a joint venture to develop a 1.5 million sq feet shopping centre, Market City, in Pune in Maharashtra. Yatra will invest €17.24 million ($23.5 million) in equity for a 24 per cent holding in the company promoted by Ashok Ruia Enterprises Pvt Ltd (AREPL). This is the fourth investment in India by Yatra, and the second in a JV with AREPL.
Last week, Yatra announced that it invested €3.73 million ($5 million) in the Mumbai-based Phoenix Mills Ltd, another JV of AREPL and publicly listed company on Indian stock exchanges, to pick up a 0.88 per cent stake. Yatra acquired 126,756 shares of Phoenix Mills for €29.27 (Rs 1600) a share, at a discount to the market price of €5.48 (Rs 300) a share.
Yatra is betting on Pune now. The Market City development will be amongst the largest shopping centres in Pune, according to a release, which with a population of 4.5 million, is over four times larger than Birmingham, the UK‟s second largest city.
Phoenix's "Market City‟ concept envisages retail-led large scale developments typically located in city centre locations. Phoenix plans seven such market cities of a total size of 15 million sq ft across the country.
Yatra Capital, an India-focussed real estate investment company, raised €100 million from the Euronext exchange in Amsterdam in December last year. Founded by ex-HSBC executive Ajoy Veer Kapoor and Rohin Shah, and backed by investors like Morley Fund Management, Fortis Investments and Standard Life, Yatra was the first Indian real estate company to list in Euronext stock exchange of Amsterdam. The fund's focus is to invest in tier II and tier III cities of India, which will invest through Saffron Capital Advisors, an asset management advisory firm.
(Big Bazaar in Mumbai's Phoenix Mills; picture found on Flickr.com)
Related:
Yatra Capital Acquires Real Estate Fund Eredene; Invests In Phoenix Mills
Yatra Capital Raises €105 Million From Euroenext; To Focus On Tier II & III Cities
