Provogue (India) Ltd, the apparel retailer, has announced an investment of Rs 56.97 crore ($12.16 million) from LTG International Limited into its real estate arm. The amount has been invested in a subsidiary of Prozone Enterprises Pvt Ltd, the real estate arm of Provogue, which is a joint venture with Liberty International. The subsidiary has diluted around a 3.56% stake to LTG International.
The subsidiary of Prozone holds stake in four projects being developed in Aurangabad, Indore, Nagpur and Jaipur covering over approximately 16 million sq. ft. Prozone has a strategy to invest mainly in tier-II cities. Earlier this year the same subsidiary had raised Rs 457 Crores ($114 million) from Triangle India Real Estate Fund LLC, co-promoted by Old Mutual Investment Group Property Investment (OMIGPI) and ICS Realty, diluting a 27% stake.
LTG International, promoted by Lewis Trust Group, is an investment company that operates retail stores, real estate, a wealth management company, and hotels.
Provogue formed a joint venture with Liberty International in 2006 when the latter invested Rs 202 crore in Prozone for a 15% stake. Liberty is one of the 20 largest Real Estate Investment Trust's (REIT) in the world. Liberty International is a UK FTSE 100 listed property company and has property investments of more than 8 billion pounds.