Prestige Estates buys back CapitaLand’s 49% stake in Bangalore project

Prestige Estates buys back CapitaLand’s 49% stake in Bangalore project

By Anuradha Verma

  • 04 Apr 2016

Prestige Estates Projects Ltd said on Monday it has bought back about 49 per cent stake in a commercial project developer in Bangalore from Singapore-based real estate firm CapitaLand for Rs 57 crore ($8.5 million).

The Mumbai-listed developer acquired the stake in Prestige Whitefield Investment and Developers Pvt Ltd from CMIDF Whitefield Mall (Singapore), a part of CapitaLand, through subsidiary Prestige Alta Vista Holdings.

Prestige Whitefield owns an eight-acre land parcel and develops commercial space. It was incorporated in 2008 and has operations only in Bangalore.

The current state of the project couldn’t be ascertained but the Prestige group has a host of residential, commercial and retail projects in the tech hub of Whitefield in Bangalore.

After the acquisition, Prestige Estates will directly or indirectly own about 80 per cent of Prestige Whitefield. It didn’t say who owns the remaining stake. As of March 31, 2015, Prestige held around 51 per cent stake in the unit.

In December last year, Prestige Estates agreed to buy back private equity investor Red Fort Capital's over 60 per cent stake in business park Exora.

Founded in 1986, Prestige Estates develops residential, commercial, leisure and hospitality, and retail projects. It also offers property resales and rental services.