Canada’s CPPIB, IndoSpace acquire Rs 30,000 crore logistics assets across five Indian cities

Canada Pension Plan Investment Board (CPPIB) and Indian warehouse developer IndoSpace on Tuesday announced the acquisition of six industrial and logistics parks valued at 30 billion rupees ($336.26 million) through their joint venture.

The joint venture, IndoSpace Core, was established in 2017 to acquire and develop logistics facilities, with the Canadian pension fund holding a 93% stake. CPPIB has committed 14 billion rupees to support the latest acquisition, the companies said.

The parks are located in major logistics hubs including Bengaluru, Chennai, Delhi, Mumbai and Pune.

Warehouse developers in India are experiencing a sharp rise in demand as companies expand capacity to align with the country’s economic growth and diversify supply chains beyond China.

Consulting firm IMARC Group estimates that India’s warehousing market will more than double to $37 billion by 2032.

“As India cements its status as a global manufacturing hub, we are witnessing an increasing demand for high-quality, compliant, and sustainable infrastructure,” Anshuman Singh, Managing Director and CEO at IndoSpace, said.

In 2023, CPPIB invested $205 million as part of IndoSpace’s new fund, which targets $600 million in equity commitments.