Horizon Industrial Parks, backed by global private equity firm Blackstone, filed preliminary papers with the Securities and Exchange Board of India (SEBI) to raise ₹2,600 crore through an Initial Public Offering (IPO). The industrial real estate firm submitted its Draft Red Herring Prospectus (DRHP), marking a significant milestone in its journey towards becoming a publicly traded company.

IPO Structure and Fund Utilization

The IPO is structured as an entirely fresh offer of equity shares with no offer for sale (OFS) component. The company has outlined clear plans for the proceeds:

According to the DRHP, approximately ₹225 crore from the proceeds will be utilized to repay existing borrowings, representing about 8.65% of the total IPO size.

Pre-IPO Funding and Total Fundraise Target

Ahead of the public issue, Horizon Industrial Parks successfully raised nearly $200 million (approximately ₹1,650 crore) in a pre-IPO funding round. The pre-IPO round witnessed participation from several prominent investors:

Including the pre-IPO placement, Horizon Industrial Parks is targeting a total fundraise of approximately ₹4,250 crore ($500 million).

Company Profile and Portfolio

Horizon Industrial Parks operates as an industrial and logistics infrastructure developer, owner, and operator with an extensive pan-India presence. The company's portfolio demonstrates significant scale and market reach:

The company operates across multiple segments including fulfillment centers, industrial facilities, and in-city logistics assets, serving a diverse customer base with nearly 60% being Fortune 500 companies.

Blackstone's Investment Journey

Blackstone currently holds an 89% stake in Horizon Industrial Parks, as revealed in the draft papers. The private equity giant made its first acquisition in the platform in 2020 and has successfully scaled the business to its current size over the past five years. This growth trajectory highlights Blackstone's strategic vision and execution capabilities in the industrial real estate sector.

Investment Banking Consortium

The IPO is being managed by a consortium of leading investment banks, ensuring comprehensive market coverage and execution expertise. The merchant bankers appointed for the issue include JM Financial, IIFL Capital Services, SBI Capital Markets, and 360 ONE WAM.

Horizon Industrial Parks, backed by private equity firm Blackstone, filed its draft red herring prospectus (DRHP) with markets regulator SEBI on Monday, targeting ₹2,600.00 crore through an initial public offering. The IPO represents an entirely fresh issue of shares, with Blackstone currently maintaining an 89% stake in the industrial and logistics infrastructure company.

Pre-IPO Funding Round

The company successfully raised ₹1,650.00 crore in a pre-IPO investment round, which resulted in the reduction of the IPO size to ₹2,600.00 crore. The pre-IPO round attracted several marquee investors across different categories.

Fund Utilization Strategy

According to the DRHP, Horizon Industrial Parks has outlined a clear deployment strategy for the IPO proceeds. The company plans to allocate ₹2,250.00 crore from the total proceeds specifically toward repaying existing borrowings, indicating a focus on strengthening its balance sheet and reducing debt obligations.

Business Operations and Portfolio

Horizon Industrial Parks operates as an integrated industrial and logistics infrastructure developer, owner and operator. The company has established a substantial pan-India presence with an impressive portfolio spanning approximately 60.00 million square feet. This extensive footprint is distributed across 46 assets located in 10 cities throughout the country.

Blackstone's Investment Journey

Blackstone's involvement with Horizon Industrial Parks began in 2020 when the private equity firm made its first acquisition in the platform. Over the subsequent five years, Blackstone has systematically scaled the business to its current substantial size, as detailed in the DRHP filing.

IPO Management Team

The public offering will be managed by a consortium of prominent merchant bankers, ensuring comprehensive market coverage and investor outreach.