By
Warburg Pincus preparing $1.5 bn realty fund focused on Asia
Photo Credit: 123RF.com

Private equity firm Warburg Pincus has set the ball rolling for a $1.5 billion Asia-focused real estate fund, as per a media report.

It will mark the first Asian real estate fund from Warburg Pincus.

Warburg Pincus Asia Real Estate LP has filed Form D with the US Securities and Exchange Commission for its upcoming fundraise.

It is not clear if the fund will invest in India but, given its exposure to the country, it is expected to channelise a good portion of the capital to the Indian real estate market.

The market has attracted private equity biggies from across the globe over the years. Warburg Pincus has backed, through direct and indirect routes, a bunch of platforms in the country spanning asset classes in the sector.

Asia-focused logistics company ESR, backed by Warburg Pincus, set up its India vertical three years ago, which has amassed 700 acres of land and a project portfolio of 16.6 million square feet. It plans to expand its portfolio through development, acquisitions and joint ventures.

Warburg Pincus has also backed the logistics platform of Embassy Group, one of the top developers in the country, through a joint venture. The JV was recently in the market to sell the platform but the deal did not happen.

The private equity major has also backed Piramal Realty, the real estate arm of Piramal Group, at the entity level. Entity level deals have become a rarity in the Indian real estate market. Any such transaction highlights the confidence of the investor in the sector and the company.

In India and globally, fundraising has picked up lately with fund managers hitting milestones and launching new vehicles.

Recently, global investment firm Blackstone hit the final close of its maiden growth equity fund Blackstone Growth. The firm said that the fund was oversubscribed and closed at its hard cap of $4.5 billion. 

It saw participation from family offices, entrepreneurs, endowments, strategic institutional investors, pension funds, high-net-worth individuals, and others.

Leave Your Comment(s)