Brookfield shuts realty advisory arm in India

MUMBAI: Brookfield has shut its property management services in India and retrenched about 20executives in Mumbai and Bangalore as part of broader plans by the Canadian alternative asset manager to exit this line of business globally, two people familiar with the matter told ET.

Brookfield had started its facility management services in India about three years ago. The transaction is part of a $1-billion deal in which the Canadian asset manager sold the business globally to CCMP Capital Advisors earlier last month.

“All such employees have been asked to leave as the real estate advisory arm has stopped functioning from the start of the new financial year,” one of the persons cited above told ET. The unit used to report to the London office directly.

Brookfield, one of the most aggressive investors in India, will continue to run its other businesses besides advisory, said one of the sources mentioned above.

An email query sent to Brookfield remained unanswered until the publication of this report.

The Indian unit is believed to have grown at 25-30% CAGR (Compound Annual Growth Rate) in the past few years.

BGIS is an integrated facilities management company from Brookfield Business Partners. Chief Executive Officer, Gordon Hicks, and the management team will remain in place and work with CCMP to support the company’s next phase of growth, Businesswire had reported earlier.

The deal with CCMP is anticipated to close this quarter (April-June), subject to customary closing conditions.