Leading global investment bank Goldman Sachs will invest $150 million (Rs.900 crore) for a minority stake in Piramal Realty, the real estate development arm of the Piramal Group.
Piramal Realty will use the funds to expand its current real estate portfolio and acquire prime properties in and around Mumbai, the company said in a statement.
“This investment is consistent with our ongoing strategy of partnering with India’s leading entrepreneurs to invest in sectors critical to the country’s development,” Ankur Sahu, co-head of private equity at Goldman Sachs in Asia, said in a statement.
“As one of the leading investors in global real estate, Goldman Sachs has helped to develop some of the world’s finest buildings,” Anand Piramal, Executive Director, Piramal Group, said. “Their experience and expertise will further inspire us to build world-class developments in India and achieve the highest standards of design, technology, quality, execution and customer service.”
Piramal Realty also announced plans to launch a buy-back guarantee called ‘Piramal Assurance’. Subsequently, the company will offer to buy back any residential unit from a customer at a five per cent discount to the market value until possession, should a buyer not be satisfied. “Our ‘Assurance’ will reduce the financial risk of purchase and provide peace of mind for customers, who will know their investment is safe and liquid,” Mr. Piramal said.
