BPTP buys out Merrill Lynch's 49% stake in Gurgaon project for 180 crore
Real estate developer BPTP is buying back Merrill Lynch's 49% stake in its Crest office building in Gurgaon for Rs 180 crore. The developer has its corporate office in the same building.
Merrill Lynch had invested Rs 100 crore in the project in 2007 at the peak of the real estate cycle in India. Now, Merrill Lynch's Asian real estate assets, including those in India, are managed by Blackstone.
BPTP recently raised Rs 270 crore through lease rent discounting of the 625,000-sq-ft office building in Gurgaon that has tenants such as Deloitte, Fidelity as well BPTP itself, a person close to the development said on condition of anonymity. The company is using a part of this money to buy back the stake from Merrill.
The asset is valued at Rs 530 crore, including a debt of Rs 170 crore. Net of debt, the value of the asset is Rs 360 crore. The source said BPTP has used the money raised to repay this debt.
Blackstone nears $40 mn exit from property firm BPTP: Sources
MUMBAI: Blackstone Group LP is in talks to sell out of a New Delhi property investment for about $40 million, two sources with direct knowledge of the matter told Reuters, in what would be its first exit from a property investment in the country.
US-based Blackstone is selling its nearly 30 percent stake in a subsidiary of property firm BPTP Ltd and is in talks with two potential buyers, one of which is BPTP's controlling owner, the sources said.
At $40 million, a sale would generate a return of about 2.5 times on the investment. Blackstone paid 1 billion rupees ($16 million) for the stake in March 2007, its website showed.
A deal could be announced later this week, one of the sources said.
Blackstone declined to comment, while BPTP did not respond to emails and phone calls seeking comment.
Blackstone, the world's largest private equity fund, is the most active private equity property investor in India and has spent about $500 million on about 20 million square feet of property assets over the past 18 months..