Logos India has raised $400 million (about Rs 2,600 crore) from Canada’s Ivanhoé Cambridge and QuadReal Property Group in one of the largest deals in the sector in India to develop modern logistics facilities across India.
The company said the total investment capacity of the venture is $800 million.
An equity of $400 million has been raised, with equal equity commitments from Ivanhoé Cambridge and QuadReal Property Group, and another $400 million of debt finance will be raised, the company told ET, which had first reported the fundraising plan in August. Logos India is a logistics real estate investment management and development platform set up in August. It is owned by Sydney headquartered LOGOS Property and Singapore-based Assetz Property Group.
“We are pleased to be expanding our relationship with Ivanhoé Cambridge to India and welcoming QuadReal as a new partner. India is the next step in our pan-Asian real estate strategy,” said Trent Iliffe, joint MD, Logos Group.
The venture, known as the Logos India Logistics Venture, is focused on developing and owning high-quality, modern logistics facilities in targeted cities across India.
The final closing of the venture is subject to certain regulatory approvals, executives said.
Logos India chairman Ben Salmon said: “India is one of the fastest-growing economies in the world and the combina tion of Logos India’s local expertise and pan-Asian management and development capability means we are well placed to capitalise on the many opportunities we are seeing in this market.” Logos India has identified a strong pipeline of opportunities in the key logistics hubs of Mumbai, Pune, Chennai, Bengaluru, Hyderabad, Ahmedabad and the National Capital Region to meet increasing demand for modern facilities.
“Our expansion into India will see us leverage our significant regional experience and our global development and design standards to deliver the highest-quality logistics facilities in the market,” said John Marsh, joint managing director, Logos Group.
Ivanhoé Cambridge and Macquarie Corporate Holdings are shareholders in Logos Group, a vertically integrated logistics real estate specialist with operations in Australia, China, Southeast Asia, and now India. Rita Rose Gagné, president, growth markets at Ivanhoé Cambridge, said: “We are pleased to invest in the logistics space in India, a promising highgrowth real estate sector. India is a strategic market for Ivanhoé Cambridge and we are continuing to grow our presence and our footprint there.”
The joint venture firm, in which Logos Group and Assetz Property Group are equal partners, plans to develop around 20 million square feet of warehouse and logistics space across major logistic hubs over the next five years.
Jonathan Dubois Phillips, president, international real estate at QuadReal said: “After extensive due diligence to understand the economic, demographic and government forces driving growth in India, we are delighted to be partnering with Ivanhoé Cambridge and Logos India to invest in the logistics sector in strategic Indian markets.”