MPC Energy Buys Equity In Phoenix Mills SPVs

MPC Energy, a JV between Germany-based MPC Capital and Switzerland-based Synergy Asset Management, has invested Rs 1,300 Crore in the purchase of equity in special purpose vehicles floated by Phoenix Mills, a real estate developer. 70% of the investment is expected to be used for fifteen projects that are in development stages, while the remaining 30% will be used for six additional projects that are in the pipeline.

The purchased equity stakes that range from 10% to 49% in value will be picked up 21 projects promoted by Phoenix Mills and its subsidiaries, Entertainment World Developers and Big Apple. Each project is foreign direct investment (FDI) compliant and a separate corporate identity (SPV). The developments will be located in tier I and II cities like Mumbai, Chennai, Bengaluru, Jabalpur, Udaipur, Raipur, Chandigarh, Pune and Indore.

This is second largest FDI in the Indian real estate market. A considerable portion of the investment will be utilised to develop four luxury hotels under the Phoenix brand. As reported earlier, two hotels in Mumbai and Chennai will be Shangri-La properties.

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  1. Posted August 26, 2008 at 2:56 am | Permalink

    For all those who are dreaming to own a house despite the high home loan rates, there is some good news. The costs of residential properties across four major markets of the country have stabilized during the April-June period. According to the report by global realty consultant, Cushman & Wakefield (C&W) on India’s residential sector, the availability of new supply, shrinking demand from investors and increasing rates have led to the stabilization of capital values in both high-end and mid-range residential segments across the National Capital Region (NCR), Bangalore, Mumbai and Pune in the second quarter of 2008.For more

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