Mahindra Lifespace Developers Ltd has acquired the 49 per cent held by private equity firm Arch Capital in Mahindra Residential Developers Ltd (MRDL), as per a stock market filing. Arch Capital is a boutique Asian real estate focused investment firm which is a run as a partnership between emerging markets focused investment firm The Rohatyn Group and Philippines- based realtor Ayala Group.
The financial detail of the deal was not disclosed, but the Business Standard citing sources pegged the deal value at Rs 70 crore.
Post acquisition, MRDL will become a wholly owned subsidiary of Mahindra Lifespace. MRDL is developing a premium residential project at Chennai. The joint venture for the project was formed in 2009 to develop a Rs 400 crore residential project.
The first phase of the project is already completed and handed over to customers and the balance phases are under development. Over 65 per cent of the villas and around 40 per cent of the apartments have already been taken up as per a company statement.
Mumbai-based Mahindra Lifespace (previously Mahindra Gesco Developers Ltd) is a flagship real estate company of the $15.9 billion Mahindra Group. The group has a presence in the automotive industry, agribusiness, aerospace, components, consulting services, defence, energy, financial services, industrial equipment, logistics, real estate, retail, steel and two-wheelers.
(Edited by Prem Udayabhanu)