Blackstone Group emerges as highest bidder for LOGOS India at Rs 1,200 cr

Blackstone was among ten bidders for the portfolio of warehouses that covered nearly 5 million square feet

Global investment giant Blackstone Group has emerged as the leading bidder to acquire LOGOS India’s warehousing assets, according to a report by Financial Express. The deal, valued at approximately Rs 1,200 crore, involves properties in Chennai and Luhari, Haryana. The official signing of the agreement is still pending.

Blackstone was among ten other bidders for the portfolio of warehouses covering nearly 5 million square feet. This included Singapore’s sovereign wealth fund GIC and Japanese shipping conglomerate Mitsui OSK Lines.

The logistics parks in Chennai are strategically located in industrial hubs such as Irungattukottai-Poonamallee-Sriperumbudur and Oragadam-Maraimalai Nagar.

LOGOS India’s decision to sell these assets follows its merger with Asia-Pacific-focused real estate developer ESR. This strategic move allows LOGOS to capitalise on some of its assets and focus on growing other aspects of its portfolio.

Blackstone warehousing expansion in India

This acquisition aligns with Blackstone’s broader expansion plans into the Indian warehousing sector. Blackstone already owns Horizon Industrial Parks, which manages 25 industrial and logistics parks across more than 1,700 acres, with a total area of 43 million square feet in 10 key Indian markets.

In 2021, the investment firm acquired Embassy Industrial Parks, a joint venture between Bengaluru’s Embassy Group and US-based investor Warburg Pincus, for an enterprise valuation of Rs 5,200 crore. Blackstone has also partnered with the Hiranandani Group for warehousing developments in India.

Earlier this year, Horizon Industrial Parks also signed a partnership with the Central Warehousing Corporation to develop and manage warehouses in various locations.

India’s industrial and warehousing sector has seen steady growth in recent years.

According to a recent study by Colliers, industrial and warehousing leasing reached 20.2 million square feet between January and September 2024, marking 17 per cent year-on-year growth across the country’s top five cities. The quarterly average leasing space has also shown consistent growth reaching 6.7 million square feet in 2024, compared to 5.7 million square feet in 2021.