Avendus Capital advises Casa Grande on sale of its warehousing unit to LOGOS

Service

Mergers & Acquisitions

Sector

Infrastructure & Real Assets

Date

February 2019

Deal Value

Undisclosed

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Casa Grande Distripark Pvt. Ltd. (“CGD”), the warehousing and industrial logistics park development arm of Casagrand Builder Pvt Ltd (” Casagrand”), has entered into agreements to sell 2.2 million square feet of pre-leased warehousing assets to the Asia Pacific logistics property specialist, LOGOS. 

Avendus Capital was the exclusive financial advisor to Casa Grande Distripark on the transaction.

CGD builds and operates multi-product warehousing and industrial parks with capabilities to provide value added services (facility management, inventory management, materials management etc) on-demand. The firm provides flexibility to its clients by combining the benefits of both built-to-suit and readymade models. Currently, their client base includes marquee names across auto-components, energy, cold chain logistics and other sectors.

CGD has been successful in identifying the growing demand for Grade “A” warehousing facilities in the country early on and was ideally placed to unlock the potential of this opportunity. Their plans include development of multiple high-grade logistics and warehousing parks across key locations in Bangalore, Coimbatore and Hyderabad. 

LOGOS’s Indian business is a partnership between LOGOS and Assetz Property Group. The property has been acquired within LOGOS's India Logistics Venture, which has commitments from Canadian investors Ivanhoé Cambridge and QuadReal Property Group. The transaction marks LOGOS’s first operational footprint in the fast-growing warehousing market of India and reflects the strong interest from global investors in this industry.

“This event hallmarks our journey through the complete infrastructure lifecycle of land -acquisition, development, leasing and the final step of exiting to a marquee platform. We are very excited about the development and look forward to working along with and gaining from LOGOS’s global expertise and scale,” said Motiram Prasad, Managing Director, Casa Grande Distripark. 

Mehul Shah, CEO, LOGOS India said, “This is a strategic acquisition for LOGOS and we are pleased to have worked with Casa Grand Group on this important deal. The parks are very well located with access to one of the country’s largest ports, meaning they can efficiently service the high-volume consumption markets of the greater Chennai region and the industrial corridors of Southern India. 

“Avendus acted as a vital link in achieving this milestone. Their professionalism and deep understanding of the deal making process was very valuable to this process,” he added.

Prateek Jhawar, Director & Head, Infrastructure & Real Assets Investment Banking at Avendus Capital said, “We are witnessing significant interest from global investors in the Indian warehousing space in recent times with major players partnering with developers to create large platforms. The highly unorganised and under developed Indian industrial warehousing sector is expected to undergo an unforeseen transformation owing to rapid changes in business environment such as rise the of e-commerce, GST implementation, changing costs and Make-in-India movement. The anticipated demand-supply gap of Grade ‘A’ warehousing is expected to open up numerous investment opportunities in the future. Through this acquisition, LOGOS has made its maiden investment even as it plans to invest in the specialised logistics and industrial parks in India. This transaction re-affirms our belief in the attractiveness of overall Indian warehousing space.”

About Avendus Capital Pvt Ltd

The Avendus Group (Avendus) is a leading provider of financial services with an emphasis on customized solutions in the areas of Investment Banking, Wealth Management, Structured Credit Solutions and Alternative Assets Management. Avendus relies on its extensive experience, in-depth domain understanding and knowledge of the regulatory environment, to offer customized solutions that enable clients to meet their strategic aspirations. Avendus Capital has consistently been ranked among the top financial advisors. It has a strong track record of cross-border transactions and has helped multiple clients benefit from opportunities across geographies.  

Avendus’s wide range of clients is testimony to its ability to serve its corporate clients throughout their life cycle – from growth stage funding to complex, large sized transactions later in the cycle. 

Avendus Capital Inc. and Avendus Capital (UK) Pvt. Ltd. located in New York and London respectively are wholly owned subsidiaries offering M&A and Private Equity syndication services to clients in the respective regions. 

For more information, please visit www.avendus.com   

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