South Korea's leading asset manager Mirae Asset Global Investments has purchased a logistics centre near Mumbai in the latest move to expand its portfolio in one of the world's fastest growing economies.
Earlier this month, the firm's Indian unit, Mirae Asset Global Investments India, acquired a 100 percent stake in the logistics center in Bhiwandi, an industrial town on the outskirts of Mumbai, from Indian company K-Square Park for about $15.9 million.
Mirae Asset Global Investments India has leased the 300,000-square-foot logistics center, which was built last year, to German logistics giant Rhenus, reports Yonhap news agency.
Bhiwandi has emerged as a key logistics hub for global companies, such as Samsung, Amazon, BMW and Maersk.
It is the first time a local unit of a foreign asset management company has directly invested in the logistics business, Mirae Asset Global Investments said.
"With this investment, we will expand our investment in the logistics business in major Indian hubs, including Mumbai, in the future," Mirae Asset Global Investments said.
The move came as demand for logistics centers is surging rapidly due to the fast-paced growth in e-commerce in India and the country's rapid economic growth.
The asset management company said the logistics business in India shows high growth potential due to the lack of infrastructure, noting about 90 percent of logistics is handled by small-sized companies.
Mirae Asset Global Investments said it is also exploring more investment opportunities in logistics and data centers in major cities of India, as its Indian unit is currently searching for candidate assets. The company did not give any further details.
As of the end of 2022, Mirae Asset's Indian unit had become India's ninth-largest asset manager, with 21 trillion won ($17 billion) in assets under management, a dramatic hike from 200 billion won in 2008, when the South Korean asset management company entered the Indian market.
--IANS
na/
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
You’ve hit your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Quarterly Starter
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Access to Exclusive Premium Stories Online
Over 30 behind the paywall stories daily, handpicked by our editors for subscribers


Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share


Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor


Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements


Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app