(Reuters) -Indian warehouse developer IndoSpace and Canada Pension Plan Investment Board (CPPIB) said on Tuesday they acquired six industrial and logistics parks worth 30 billion rupees ($336.26 million) through their joint venture.
The Canadian pension fund, which owns 93% of IndoSpace Core, established the joint venture in 2017 to acquire and develop logistics facilities.
CPPIB has committed 14 billion rupees to fund the acquisition of these parks, located in India’s key logistics markets such as Bengaluru, Chennai, Delhi, Mumbai, and Pune, the two firms said.
Warehouse developers are facing a mad demand rush as companies bet on the country’s economic boom and also aim to diversify their supply chains beyond China. India’s warehousing market is expected to more than double to $37 billion by 2032, according to estimates from consulting firm IMARC Group.
“As India cements its status as a global manufacturing hub, we are witnessing an increasing demand for high-quality, compliant, and sustainable infrastructure,” Anshuman Singh Managing Director and CEO at IndoSpace said.
In 2023, the CPPIB invested $205 million as a part of the Indian company’s new fund targeting $600 million in equity commitments.
($1 = 89.2162 Indian rupees)
(Reporting by Urvi Dugar in Bengaluru; Editing by Janane Venkatraman)
