Xander Set to Acquire Shriram Group's IT SEZ for ₹690 Crore
Xander, a significant foreign investor in the Indian real estate market, is reportedly preparing to acquire a 100% stake in an IT Special Economic Zone (SEZ) from the Shriram Group for ₹690 crore. This acquisition would significantly expand Xander's portfolio in the commercial real estate sector.
Key Highlights:
- Investment: The global fund house, having already invested over $1.2 billion in Chennai, has signed preliminary documents and is working towards finalizing the deal.
- SEZ Development: Shriram Properties, a diversified division of the Shriram Group, developed the SEZ on a 58-acre plot acquired from Standard Motors in 2006.
- Past Negotiations: Shriram Group and Sun Apollo, a private investor with a stake in the project, have been in discussions for the past year to determine the tech-park's valuation.
- Previous Bidders: Ascendas, a Singapore-based IT park developer, also expressed interest in the property but was reportedly rejected due to a lower bid.
- Project Status: The Shriram Group is developing a 2.5-million sq ft tech-park, with 1.7 million sq ft expected to be completed within the next three months.
Stakeholder Comments
The Shriram Group has chosen not to comment on the ongoing transaction. Similarly, Xander has maintained silence throughout the proceedings.
SEZ Details
The SEZ is largely leased, with the exception of the 200,000 sqft currently nearing completion. Sources indicate that Xander is likely to have the first right of refusal for the remaining 800,000 sq ft of commercial space development, which is projected to be finished in the next two years.