Blackstone and Salarpuria Sattva completed the acquisition of Coffee Day Enterprises’ Global Village Tech Park in Bengaluru for ₹2,500 crore in March 2020, marking a pivotal deal amid the company’s financial distress.​

Deal Background

Coffee Day Enterprises, reeling from founder V.G. Siddhartha’s suicide in July 2019 and mounting debts, approved the sale of the 90-acre SEZ tech park in September 2019. The park, developed by subsidiary Tanglin Developments, spans 3.3 million sq ft with tenants like Mindtree, Mphasis, and Accenture. Initial valuations ranged from ₹2,600-3,000 crore, but the final price settled at ₹2,500 crore, with Blackstone holding the majority stake and Salarpuria around 25%.​

Transaction Timeline

The deal faced delays due to lender approvals, including a No Objection Certificate from Yes Bank for ₹100 crore owed by Tanglin. Blackstone paid the first tranche of ₹300 crore in early March 2020, followed by ₹1,700 crore shortly after, with the balance due by year-end. Coffee Day used proceeds to repay ₹1,644 crore to 13 lenders, easing its debt burden.​

Strategic Importance

This acquisition bolstered Blackstone’s expansive Indian office portfolio while aiding Salarpuria Sattva’s growth in premium commercial assets. For Bengaluru’s real estate, it underscored investor confidence in tech parks despite early pandemic uncertainties, highlighting SEZ stability. The transaction exemplified distress asset sales in India’s property sector during economic stress.​

  Blackstone, Coffee Day, Global Village Tech Park, Salarpuria