Singapore-based property developer the Ascendas-Singbridge group has bought six warehouses from Mumbai-based logistics company Arshiya, for Rs 534 crore.
Ascendas-Singbridge would make the payment in two tranches: First, Rs 434 crore on signing the definitive agreement; the remaining over four years, on achieving certain targets, the company told the exchanges on Wednesday.
Arshiya has signed a binding term-sheet with Ascendas Property Fund Trustee, which manages Ascendas India Trust.
The six warehouses Ascendas will acquire would have a total space of 832,000 sq ft. These are located at the Free Trade and Warehousing Zone at Panvel, near Mumbai. All the warehouses would be leased back, under a master lease pact with the Arshiya group.
Arshiya will use the proceeds from the deal to repay its debt. The deal will also help it achieve an asset-light model. Ascendas will potentially be getting a portfolio of income-yielding warehouses.
The term-sheet also envisages the financing of the future development on the availability of surplus land, which has a development potential of approximately 4 million sq ft, within the existing notified area.
