Dubai's Emaar in Talks With Adani Group for Stake Sale in Indian Operations

Emaar Properties, Dubai's largest publicly listed real estate developer, has confirmed that it is in talks with the Adani Group to sell a stake in its Indian subsidiary. The deal is valued at Rs 40-50 billion (approximately $462 million to $578 million USD). Discussions are still in the early stages, with valuation and deal terms yet to be finalized.

This potential deal could mark Adani Group's largest investment in the real estate sector to date. Emaar entered the Indian real estate market in 2005 and has since built a diverse portfolio of residential and commercial properties across key cities like Gurugram, Mohali, Lucknow, Jaipur, and Indore.

The deal would provide Emaar with substantial capital. This could be reinvested in its core markets or used to pay down debt.

As of September 2024, Emaar Properties' total debt stands at approximately ₹240.32 billion (around $2.84 billion USD) . The company has a solid financial profile with a debt to EBITDA ratio below 1.0x for the last twelve months ending March 2024. Emaar Properties maintains a strong liquidity profile and a significant sales backlog, which provides revenue visibility over the next few years.

Emaar Properties has been active in the Indian real estate market since 2005. Some of Emaar's notable projects include Emaar Emerald Hills, Emaar Digi Homes, Emaar Business District 83, and the luxury residential project Amaris in Gurugram.

In November 2024, Emaar India launched Amaris, a luxury residential project in Gurugram, with an investment of Rs 1,000 crore.

If the deal goes through, it could lead to the launch of new projects across key Indian cities, enhancing urban development and potentially boosting local economies.

For Adani Group, acquiring a stake in Emaar's Indian operations would represent a major expansion into the real estate sector. This would diversify Adani's portfolio, which already spans infrastructure, energy, and logistics.

The Adani Group has been expanding its presence in the real estate sector through its subsidiary, Adani Realty.

Adani Realty has a diverse portfolio of residential and commercial projects across key cities in India, including Mumbai, Pune, Ahmedabad, and Delhi-NCR. Some of their high-profile projects include the controversial Dharavi slum redevelopment project in Mumbai, valued at Rs 40,000 crore, and a luxury residential project in Mumbai's Bandra East.