Emaar Properties in Talks to Sell Stake in Indian Operations to Adani Group

In a significant move within India’s real estate sector, Dubai’s Emaar Properties is in early-stage talks to sell a stake in its Indian subsidiary to the Adani Group. The deal, which is valued between INR 40-50 billion, has generated considerable interest due to the prime locations of Emaar’s ongoing projects.

Emaar, one of Dubai’s leading real estate developers, confirmed in a filing to the Dubai Stock Exchange that it is negotiating with multiple Indian companies, including Adani. While the deal’s terms are still under discussion, the potential sale marks a milestone in Emaar’s operations in India. Emaar first entered the Indian market in 2005, initially through a joint venture with MGF Development. The partnership dissolved in 2016, with a regulatory approval for a demerger granted in 2018.

Should the sale proceed, it would be a strategic acquisition for Adani Realty, the real estate arm of the Indian billionaire Gautam Adani’s business empire. It would represent Adani’s largest investment in real estate to date, signaling a shift in India’s property landscape. Despite the ongoing scrutiny over the Adani Group’s activities, particularly amid legal challenges in the United States, this deal demonstrates their continued push into key sectors of the Indian economy.

Emaar Properties has also reported a strong financial performance for the first three quarters of 2024. With revenues rising by 30%, totaling AED 23.8 billion, the company’s performance underscores its robust position in the global real estate market. Notably, the company’s real estate sales surged by 60%, reaching AED 50 billion in the same period, strengthening its business portfolio and indicating its growth trajectory in international markets.

For Adani Group, securing a controlling stake in Emaar India would be a strategic move to capitalize on Emaar’s reputation for delivering high-value projects in prominent Indian cities. As India’s property market shows resilience, especially in key urban areas, this deal could bolster Adani’s position as a major player in the real estate sector.

The ongoing talks have captured the attention of industry analysts, given the potential long-term implications for both Emaar and Adani Group. While the sale is still being negotiated, the promising valuation of Emaar India’s projects, located in prime locations, could ensure a successful and profitable transaction once finalized.