Real estate major DLF Limited (DLF) on November 6 announced a ₹3,750 crore joint venture (JV) with Singapore-headquartered Everstone Group, a global investment manager to invest in IREO Private Limited and other group companies in India (IREO India Companies) held by the IREO group of FDI funds (IREO Funds), with investments from reputed global investors.
According to the company, through the proposed arrangement, DLF intends to invest approximately ₹3,750 crore for a majority stake, in the JV, which will hold economic interest in the IREO India Companies.
"Under a separate binding and exclusive term sheet executed on the same date by the parties with the IREO Funds, the proposed JV intends to invest these funds to acquire a stake of at least 20% in the IREO India Companies, together with certain governance-related rights. Through the proposed transaction, the JV’s aggregate economic interest (contractual and otherwise) in the IREO India Companies will be approximately 40%, with the IREO Funds holding the balance," the company said.
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The company said that with its size, scale and strategic locations, the proposed transaction presents a compelling opportunity to deliver high-quality, valuable developments across Delhi, Gurugram and other regions.
{{/usCountry}}The company said that with its size, scale and strategic locations, the proposed transaction presents a compelling opportunity to deliver high-quality, valuable developments across Delhi, Gurugram and other regions.
{{/usCountry}}On completion, the IREO India Companies will be operated by a strong, independent management team executing an agreed business plan within a robust governance framework, under the guidance of DLF and Everstone. The alliance combines DLF’s proven development expertise with the strong capabilities of a global investment manager, with the aim of restoring momentum, unlocking embedded growth and building a stronger, more resilient business, according to a company statement.
“We are pleased to partner with Everstone Group on this strategic investment. Bringing together strong industry experience and global investment capabilities, we look forward to unlocking the growth potential of the IREO India Companies,” said Ashok Kumar Tyagi, Managing Director, DLF.
The company said that the proposed transaction is subject to customary closing conditions, including satisfactory completion of due diligence, receipt of all applicable corporate, regulatory and third-party approvals, and execution of definitive documents. Closing is expected to occur during 2027.
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“It is our privilege to partner with DLF, especially given their incredible capabilities in a market they understand extremely well. Consistent with our fiduciary responsibilities we look forward to working hard and creating significant value for our IREO Funds investors,” said Sameer Sain, Co-Founder and CEO, Everstone Group.