Warburg Pincus is in talks to team up with Runwal Group to invest $1 billion in real estate projects

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Global private equity giant Warburg Pincus is said to be partnering with developer local Runwal Group to invest $1 billion in retail-led mixed-use developments across India.

Bengaluru, 22 Nov,2018. RedNewswire/-

Warburg Pincus is poised to enter into an alliance with developer Runwal Group to invest $1billion in retail-led mixeduse development across the country, said two persons with direct knowledge of the development.

According to a source-based report in The Economic Times, both partners are likely to invest around $250 million each as their equity contribution, while the rest will be through leveragi

“This ($500 million) would just be the initial contribution as both the entities are open to investing more and expanding the size of the investment platform. Further investments and upping the platform size would depend on future growth opportunities,” said one of the persons mentioned above.

Citing two people with direct knowledge of the development that it didn’t name, the report said that the platform will invest in 15 to 20 retail-led mixed-use projects in tier-I and tier-II cities. The platform would also be looking at acquiring operational and partially-completed projects. A new team is planned for this platform, which would also be looking to acquire operational and partially-completed projects.

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Last year, Warburg Pincus had said it plans to double its investments in India and may invest $8 billion in India over the next 10 years. The private equity major has been investing heavily in real estate and has partnered some prominent players in the space including Piramal Realty.

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