Mumbai-based industrial real estate investor IndoSpace Logistics Parks has hit the final close of its third fund at $1.2 billion (Rs 8,611 crore at current exchange rates), the company said in a statement.
The third fund, IndoSpace Logistic Parks III, has received total equity commitment of $580 million (Rs 4,162 crore at current exchange rates), which post-leverage will create a corpus of $1.2 billion.
The fund was significantly oversubscribed on the back of strong investor demand, the company said.
In October, International Finance Corporation, the private-sector investment arm of the World Bank, had proposed to invest $25 million in the fund.
IndoSpace is jointly owned by homegrown private equity investor Everstone Capital and Realterm Global. Realterm, which has presence across North America, Europe and India, manages about $2.5 billion across 300 properties.
“The successful fundraise is a big endorsement of IndoSpace’s leadership in the industrial and logistics real estate space in India,” said Sameer Sain, co-founder and chief executive of the Everstone Group.
With this fundraise, IndoSpace has over $3.2 billion worth of assets under management.
The company had raised money for two funds in the past. IndoSpace Logistics Parks I was raised in 2009, with a corpus of $240 million, and IndoSpace Logistics Parks II was raised in 2014, with a corpus of $344 million.
In September, IndoSpace had entered into a partnership with Singapore-headquartered logistics facilities provider GLP.
GLP will partner IndoSpace to develop logistics parks in India as well as co-invest in the Mumbai-based firm’s managed investment vehicles.
In 2017, Canada Pension Plan Investment Board (CPPIB) and IndoSpace formed a joint venture called IndoSpace Core to acquire and develop logistics facilities in India. CPPIB initially committed about $500 million to IndoSpace Core for a significant majority stake.
Currently, IndoSpace has a portfolio of around 30 million square feet across developed and under-construction projects. Its portfolio includes 30 industrial and logistics parks in nine cities across India. Its customers include IKEA, Amazon, Nissan, PepsiCo, DHL, Ericsson, Bosch and Delphi.
