Chinese investment conglomerate Fosun Group is looking to acquire a strategic minority stake in realty developer Ahuja Constructions for around? 350 crore, said two persons familiar with the development.
Fosun, which has been working on its plan to gain a toehold in India’s real estate for the last 18 months, is expected to make this investment through its property investment and management platform Fosun Property Holdings.
“Both Fosun Property and Ahuja Constructions have already initiated the discussion regarding the proposed deal and are expected to finalise the structure soon,” said one of the persons mentioned above.
Several calls and text messages to Apurva Muthalia, MD of Fosun Property Holdings and Gautam Ahuja, MD, Ahuja Constructions remained unanswered until the press time.
The proposed investment in Ahuja Constructions would be Fosun’s second such transaction in Indian real estate. According to media reports, the Shanghai-headquartered group is also in advanced talks to invest around Rs 800 crore in Nitesh Estates.
The Fosun Group is amongst China’s largest privately-owned investment conglomerates with interests spanning across pharmaceuticals, real estate, financial services, infrastructure and hospitality. In September, in its first India deal, Fosun picked up controlling stake in Gland Pharma for over $1billion.