Prestige Lands ₹3,000 Crore CPP Investments Deal
The Canadian pension giant could take up to 28% in Prestige Hospitality, giving the developer a private-capital alternative to its planned IPO.
By SOH Edit Team
Prestige Estates Projects brings CPP Investments into its hospitality business, with the Canadian pension fund manager proposing to invest up to ₹3,000 crore ($315 million) for as much as a 28% stake in Prestige Hospitality Ventures.
The investment, through a mix of fresh capital and a secondary share purchase, would value the hotel business at about ₹10,700 crore ($1.12 billion) at the upper end. The deal remains subject to due diligence and regulatory and lender approvals.
Private capital takes the IPO route
The transaction gives Prestige another route to monetise its hotel portfolio. Prestige Hospitality had filed for an IPO of up to ₹2,700 crore in April 2025, including ₹1,700 crore of fresh shares and a ₹1,000 crore offer for sale by its parent.
Management had recently indicated it was considering private capital after attracting investor interest. The IPO proceeds were partly intended to reduce debt, with about ₹1,121 crore earmarked for repayment of borrowings.
Capital for a growing hotel portfolio
Prestige’s hospitality business generated about ₹300 crore in June-quarter revenue at an Ebitda margin of roughly 41%. The wider group ended June with consolidated net debt of about ₹11,900 crore.
CPP Investments manages the Canada Pension Plan Fund, which had C$793.3 billion in net assets at the end of fiscal 2026.
If the transaction closes at the maximum proposed stake, Prestige will retain at least 72% of its hospitality subsidiary while gaining a major global institutional investor.
