CapitaLand marks 10th year in India with mall openings
In this article (5)
CapitaLand India plans to divest six retail malls and its half-share in CapitaLand Retail Prestige Mall Management, which manages some of the properties.
Singapore-headquartered CapitaLand has entered into definitive agreements to divest:
* Its respective equity interests in six special-purpose vehicles (SPVs), which each hold a retail mall asset in the Indian cities of Bangalore, Mangalore, Hyderabad, Mysore, Cochin and Udaipur to Prestige Retail Ventures; and
* Its 50 per cent equity interest in CapitaLand Retail Prestige Mall Management (CRPMM), which manages the properties in Bangalore, Mangalore and Hyderabad, to Prestige Estates Projects for an aggregate consideration of INR3.4 billion (about S$71.5 million or US$53 million), to be fully satisfied in cash and negotiated on a willing-buyer/willing-seller basis.
When the transaction is completed, probably this quarter, the SPVs and CRPMM will no longer be subsidiaries or associates of CapitaLand.
The SPVs and properties involved are:
- Prestige Garden Constructions – The Forum Neighbourhood Mall and Oakwood Residences, Bangalore.
- Prestige Mangalore Retail Ventures – The Forum Fiza Mall (pictured), Mangalore.
- Babji Realtors – The Forum Sujana Mall, Hyderabad.
- Prestige Mysore Retail Ventures – Forum Centre City (FKA Mall), Mysore.
- Thomsun Realtors – Forum Cochin Mall, Cochin.
- Flicker Projects – The Celebration Mall Udaipur, Udaipur.
Questions & Answers
Q.Which specific CapitaLand entities are being divested in this transaction?
Which specific CapitaLand entities are being divested in this transaction?
CapitaLand India plans to divest its respective equity interests in six special-purpose vehicles (SPVs) which hold a retail mall asset each. It is also divesting its 50 per cent equity interest in CapitaLand Retail Prestige Mall Management (CRPMM).
Q.What is the total value of the divestment deal, and how will it be paid?
What is the total value of the divestment deal, and how will it be paid?
The aggregate consideration for the divestment is INR3.4 billion, which is approximately S$71.5 million or US$53 million. The entire amount will be fully satisfied in cash, as negotiated between the parties.
Q.Who are the buyers of the retail malls and the mall management company?
Who are the buyers of the retail malls and the mall management company?
Prestige Retail Ventures is acquiring the equity interests in the six SPVs that hold the retail mall assets. Prestige Estates Projects is purchasing CapitaLand's 50 per cent equity interest in CapitaLand Retail Prestige Mall Management.
Q.Which specific properties are included in this divestment agreement?
Which specific properties are included in this divestment agreement?
The properties involved are The Forum Neighbourhood Mall, The Forum Fiza Mall, The Forum Sujana Mall, Forum Centre City, Forum Cochin Mall, and The Celebration Mall Udaipur. Oakwood Residences in Bangalore is also part of the deal.
Reader pulse
CapitaLand's India mall sale:
18,800 votes so far