In order to acquire a 49% stake in a future commercial project in Gurugram being developed by Max Group company Max Ventures & Industries Ltd, New York Life Insurance Company will invest Rs 2.9 bn (MaxVIL).
Acreage Builders was purchased by MaxVIL's subsidiary Max Estates Ltd in September of last year for an enterprise value of Rs 3. 22 billion.
Acreage Builders is the owner of 7.15 acres of land on Gurugram's Golf Course Extension Road.
According to a statement from MaxVIL, Acreage Builders has been fully acquired by Max Estates and is now a step-down wholly-owned subsidiary of the business.
"New York Life Insurance has been onboarded as an equity investor committing Rs 2.9 billion in Acreage Builders," MaxVIL said.
Max Estates will own 51% of Acreage Builders and New York Life will own 49% of the company, which is authorised to develop this commercial project.
"The developable leasable area is around 1.6 million square feet with a revenue potential of Rs 160200 crore per annum," MaxVIL said.
The company highlighted that New York Life, a financial services company and the largest mutual life insurer in the US, has been its strategic partner in the real estate business since 2017.
Additionally, New York Life has a 23% stake in the holding company MaxVIL and a 49% stake in Max Square Phases 1 & 2.
"Taking their cumulative commitment in the group to Rs 800 crore," MaxVIL said.
As a strategic investor in its commercial real estate business, New York Life continues to assess co-investment.
Sahil Vachani, MD & CEO of MaxVIL said, This year, the company has embarked upon Max Estates 3.0 journey wherein it exited the speciality packaging films business and redeployed the capital to expand real estate portfolio."
The company has entered in the residential segment, he said.
"With acquisitions this year (completed and in pipeline), we will be ending FY23 with a real estate portfolio of 7-8 million square feet well diversified across Delhi-NCR, asset classes and risk spectrum," Vachani said.
The Max Group, worth USD 4 billion, has three holding companies, MaxVIL being one of them.
Through its 100% subsidiary Max Estates, MaxVIL is the owner and operator of a real estate company. Max Asset Services is a company that provides management and real estate services. MaxVIL is traded on the NSE and BSE stock exchanges.
Two commercial (office) projects, Max Towers in Noida and Max House in Delhi, were created by Max Estates Ltd, which was founded in 2016. On Rajpur Road in Dehradun, it has also constructed a community of opulent residential villas.
According to Max Estates, it aims to design, construct, and manage Grade A+ office buildings in Delhi-NCR.
For its third commercial project in Delhi-NCR, Max Square, the company has partnered with New York Life Insurance Company.
The company recently entered the residential market, with the development of its first project in Noida.
MaxVIL stated that it has received approval from the creditors and shareholders regarding the status of the amalgamation with Max Estates. In May 2023, there will likely be a second meeting with NCLT.
"The amalgamation is expected to be complete in first half of 2023. This will simplify the corporate structure and also enable us to re-name the entity as Max Estates a move that will resonate with real estate as the only focus of the company," the statement said.
See also:
MaxVIL leases 1.05 lakh sq ft space at Rs 16 cr annual rent in Delhi
Max Estates to bag 100% stake in Accord Hotels & Resorts
In order to acquire a 49% stake in a future commercial project in Gurugram being developed by Max Group company Max Ventures & Industries Ltd, New York Life Insurance Company will invest Rs 2.9 bn (MaxVIL).
Acreage Builders was purchased by MaxVIL's subsidiary Max Estates Ltd in September of last year for an enterprise value of Rs 3. 22 billion.
Acreage Builders is the owner of 7.15 acres of land on Gurugram's Golf Course Extension Road.
According to a statement from MaxVIL, Acreage Builders has been fully acquired by Max Estates and is now a step-down wholly-owned subsidiary of the business.
New York Life Insurance has been onboarded as an equity investor committing Rs 2.9 billion in Acreage Builders, MaxVIL said.
Max Estates will own 51% of Acreage Builders and New York Life will own 49% of the company, which is authorised to develop this commercial project.
The developable leasable area is around 1.6 million square feet with a revenue potential of Rs 160200 crore per annum, MaxVIL said.
The company highlighted that New York Life, a financial services company and the largest mutual life insurer in the US, has been its strategic partner in the real estate business since 2017.
Additionally, New York Life has a 23% stake in the holding company MaxVIL and a 49% stake in Max Square Phases 1 & 2.
Taking their cumulative commitment in the group to Rs 800 crore, MaxVIL said.
As a strategic investor in its commercial real estate business, New York Life continues to assess co-investment.
Sahil Vachani, MD & CEO of MaxVIL said, This year, the company has embarked upon Max Estates 3.0 journey wherein it exited the speciality packaging films business and redeployed the capital to expand real estate portfolio.
The company has entered in the residential segment, he said.
With acquisitions this year (completed and in pipeline), we will be ending FY23 with a real estate portfolio of 7-8 million square feet well diversified across Delhi-NCR, asset classes and risk spectrum, Vachani said.
The Max Group, worth USD 4 billion, has three holding companies, MaxVIL being one of them.
Through its 100% subsidiary Max Estates, MaxVIL is the owner and operator of a real estate company. Max Asset Services is a company that provides management and real estate services. MaxVIL is traded on the NSE and BSE stock exchanges.
Two commercial (office) projects, Max Towers in Noida and Max House in Delhi, were created by Max Estates Ltd, which was founded in 2016. On Rajpur Road in Dehradun, it has also constructed a community of opulent residential villas.
According to Max Estates, it aims to design, construct, and manage Grade A+ office buildings in Delhi-NCR.
For its third commercial project in Delhi-NCR, Max Square, the company has partnered with New York Life Insurance Company.
The company recently entered the residential market, with the development of its first project in Noida.
MaxVIL stated that it has received approval from the creditors and shareholders regarding the status of the amalgamation with Max Estates. In May 2023, there will likely be a second meeting with NCLT.
The amalgamation is expected to be complete in first half of 2023. This will simplify the corporate structure and also enable us to re-name the entity as Max Estates a move that will resonate with real estate as the only focus of the company, the statement said.
See also: MaxVIL leases 1.05 lakh sq ft space at Rs 16 cr annual rent in Delhi Max Estates to bag 100% stake in Accord Hotels & Resorts
