Canada Pension Plan Investment Board (CPPIB) and Phoenix Mills have invested Rs 700 crore in their joint subsidiary, Island Star Mall Developers. The companies have invested the funds through a rights issue for deployment over construction and development (C&D) activities of the ongoing projects in Pune, Bangalore and Madhya Pradesh. In 2017, both the companies signed an agreement to develop, own and operate retail-led multi-purpose developments in India. Under the agreement, CPPIB acquired 49% of the holding, and Phoenix Mills acquired 51% in Island Star Mall Developers. Phoenix Marketcity, one of its retail malls in Bangalore, serves as a seed asset for this alliance with CPPIB. In the second tranche of investments, no changes are witnessed in the shareholding of the company, following the latest round of funding. This year in June, the companies had committed to bring in additional equity of Rs 800 crore in their alliance. However, both the companies have increased their commitment to Rs 1,500 crore. In June, they brought Rs 400 crore equity to their shareholding and infused Rs 700 crore capital. They have completed their commitment of Rs 1,100 crore, from Rs 1,500 crore. In November, the companies entered into a joint venture for developing a 1.2 million sq ft office-led multi-purpose asset in Mumbai. CPPIB will invest Rs 1,350 crore, with an ultimate equity stake of 49%. Earlier, they agreed to extend their commitment to the already existing alliance and form a new joint venture for developing a 1 million sq ft regional retail centre in Kolkata. This year in August, the company raised Rs 1,100 crore via a Qualified Institutional Placement (QIP), increasing its cash to Rs 1,920 crore. Image Source