Embassy in talks with CDPQ to set up office-park platform
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Real estate developer Embassy Group is in talks with the real estate investment arm of Canada's pension fund CDPQ to set up an alternative investment fund for office parks in the country, a person in the know told VCCircle.

Ivanhoe Cambridge will put in roughly $150 million (Rs 1,125 crore) in the first phase, the person said asking not to be named.

The person added that the deal will close by September and will result in the first commercial platform from Ivanhoe. 

Ivanhoe will own 80% stake in the platform while the rest will be with Embassy, which will manage development of projects, the person said.

The development, reported earlier today by The Economic Times, comes after Indiabulls Real Estate Ltd said on Tuesday it has entered into a definitive agreement to merge the entire residential and commercial projects of Embassy with itself.

The combined entity will constitute 80.8 million square feet of launched and planned development potential. Post the transaction, the merged entity -- Embassy Developments Ltd -- will be owned 44.9% by Embassy, 26.2% by existing public and institutional shareholders, 9.8% by existing Indiabulls Real Estate promoter group and 19.1% by Blackstone and other Embassy institutional investors.

Earlier this month, Sameer Gehlaut, who founded Indiabulls Group with two others 20 years ago before splitting it in 2014, stepped down as the executive chairman of Indiabulls Housing Finance Ltd.

Embassy is also in talks with investors to sell a bunch of its warehousing parks under Embassy Industrial Parks. Two PE-backed players are in the race to lap up the assets.

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