Blackstone-Panchshil bid for ICICI Ventures' stake in Express Towers

Blackstone, the private equity (PE) giant, and Pune-based developer Panchshil Realty have jointly put a bid to buy a 49 per cent stake held by ICICI Ventures in Express Towers, the well-known commercial building at Nariman Point of this city.

According to sources, ICICI Ventures was looking at a valuation of Rs 500-550 crore for its stake. The bid amount of Blackstone-Panchshil is not known.

ICICI Ventures has also received a bid from three to four other investors, including PE funds, to buy its stake, said a person aware of the plan. It acquired the 49 per cent stake in the the 25-storey building in 2008, for about Rs 358 crore. The remaining stake is held by Viveck Goenka, chairman and managing director of the Indian Express Group.

An ICICI Ventures spokesperson declined to comment. A top Panchshil Realty executive confirmed the bid. Contact could not be made with Blackstone executives.

Blackstone has been steadily acquiring commercial projects in the past couple of years. It includes DLF-Ackruti IT park in Pune, a special purpose vehicle of Embassy, among others. Panchshil is looking to expand its commercial portfolio with the bid, said the executive.

ICICI Venture was earlier planning to list yield-generating assets such as Express Towers but tough market conditions played spoilsport.

PRIME TARGET
|Express Towers is a well-known commercial building at Nariman Point in Mumbai
|According to sources, ICICI Ventures was looking at a valuation of Rs 500-550 crore for its stake in the property

|ICICI Venture was earlier planning to list yield-generating assets such as Express Towers but tough market conditions played spoilsport