In a significant move that reinforces confidence in India's logistics sector, IndoSpace Core has completed a major acquisition of six industrial and logistics parks valued at over $300 million. This strategic purchase substantially expands the company's footprint across India's key economic hubs.
Major Expansion Across Strategic Locations
The acquired assets are situated in India's most critical logistics markets, including Bengaluru, Chennai, Delhi, Mumbai, and Pune. Collectively, these six parks span an impressive 380 acres with a leasable area of approximately nine million square feet. All properties are fully developed and currently generating income, making them immediately productive additions to IndoSpace Core's growing portfolio.
This transaction represents a substantial commitment from Canada Pension Plan Investment Board (CPP Investments), which holds a dominant 93% stake in IndoSpace Core. The Canadian pension fund manager will invest approximately $153.7 million (C$217 million) to fund this strategic acquisition, demonstrating strong belief in India's long-term growth potential.
Strengthening Market Leadership Position
Following this transaction, IndoSpace Core's portfolio will expand to 22 million square feet of leasable area distributed across 948 acres. The company now serves over 120 global and domestic clients across six major industrial hubs: Bengaluru, Chennai, Delhi, Hyderabad, Mumbai, and Pune.
Hari Krishna, Managing Director and Head of Real Estate India at CPP Investments, emphasized the strategic rationale behind the investment. "India's logistics sector continues to benefit from strong structural growth, driven by urbanization and the expanding manufacturing footprint," he stated in the official announcement.
Krishna further added, "Our longstanding partnership with IndoSpace has enabled us to capture high-quality opportunities in this space. We believe this acquisition will deliver attractive, risk-adjusted returns for CPP contributors and beneficiaries."
India's Growing Importance in Global Portfolio
This investment aligns with CPP's broader strategy to expand its Indian portfolio, which has tripled in size over the past five years to reach approximately $21.9 billion (C$30 billion). This remarkable growth makes India CPP's third-largest market in the Asia-Pacific region, trailing only Japan (approximately $26.99 billion) and closely competing with China (approximately $21.46 billion).
Anshuman Singh, Managing Director and CEO of IndoSpace, highlighted the transaction's significance. "This transaction reflects how India's logistics sector has evolved into a long-term investment story driven by stable demand and institutional confidence," he commented. "This acquisition further reinforces the strength of our partnership with CPP Investments, built on a shared belief in India's potential as a global hub."
The fully integrated supply chain infrastructure platform serves diverse industries including manufacturing, electronics, third-party logistics (3PL), e-commerce, retail, and automotive sectors. IndoSpace leverages advanced technology to deliver scalable and sustainable infrastructure solutions that enhance operational efficiency and accelerate manufacturing growth across the country.
With over 60 million square feet of space either developed or currently under development, IndoSpace solidifies its claim as the largest player in India's industrial and logistics real estate sector. CPP Investments initially entered the Indian market in 2009 with an investment in the private equity fund Multiples, subsequently establishing a Mumbai office in 2015 to deepen its local presence.
