ESR partners with Future Group to set up Rs 300 crore industrial and warehousing parks
BusinessToday.In September 3, 2019
ESR India Investments Holdings, a subsidiary of Asia Pacific's leading logistics real estate platform ESR, has inked a pact with Kishore Biyani's Future Group to set up two industrial and warehousing parks with an investment of nearly Rs 300 crore.
The two state-of-the-art industrial and warehousing parks would be developed in Nagpur and Jhajjar to service the northern and central regions.
"ESR announced a strategic alliance with Future Group through Future Market Networks to develop two state-of-the-art industrial and warehousing parks to service the northern and central regions," Future Market Networks said in a filing to the Bombay Stock Exchange.
Future Market Networks, engaged in the business of providing retail infrastructure and infra logistics, said that this partnership is aimed to set new standards for the warehousing and industrial real estate sector and benefit from the burgeoning e-commerce growth in these regions.
The two sites, with a total area of approximately 75 acres and a developable area of approximately 1.3 million sq. ft. will be jointly developed by Future Market Networks and ESR, with latter as the majority partner.
Commenting on the development, Kishore Biyani, Group CEO, Future Group stated, "We are enthusiastic about our alliance with ESR to develop state-of-the-art industrial and logistics infrastructure. ESR shall bring in their expertise to develop these strategically located assets to service India's rapidly growing logistics industry."
"Through this partnership we are committed to deliver the highest standards of design, construction and operation of warehouses to ensure that these parks address market demand for first-rate logistics solutions," he added.
Abhijit Malkani and Jai Mirpuri, Country Heads of ESR India, said, "We are excited to partner with Future Group in this landmark transaction which will leverage Future Group's deep understanding of the Indian retail and logistics industries and ESR's expertise in building smart logistics infrastructure."
Jeffrey Shen and Stuart Gibson, co-founders and co-CEOs of ESR, jointly stated, "This strategic collaboration between Future Group and ESR India marks a significant development for both companies, as well as the logistics and industrial real estate sector in India. We look forward to expanding the scale of this partnership further in near future."
Ahead of the announcement, shares of Future Market Networks closed trade at Rs 27.70, up 0.18 per cent, on the Bombay Stock Exchange on Tuesday.
Edited by Chitranjan Kumar