The deal gives Blackstone 10 per cent of the company’s voting share capital. The firm also has pre-emptive rights to share capital increase for €1.3m.
As a result of the investment GSO Investment Funds can nominate one member of the board of directors for Lamda and will also have anti-dilution rights.
The deal follows strong demand for Lamda’s holding company Consolidated Lamda Holdings from international investors, according to the property business.
GSO founding member and partner Doug Ostrover said, “We firmly believe that the Greek economy is beginning its recovery, and that Lamda Development is uniquely positioned to benefit from the recovery and pursue the considerable real estate opportunities in Greece.
“We are excited to team up with the largest real estate developer with a leading track record and a first-class shopping mall operator in Greece.”
In March this year Blackstone announced it had closed its fourth European real estate fund on its €5.1bn ($7bn) hard cap, making it its biggest vehicle of its kind to date.
Blackstone-backed arts and crafts retailer Michaels Stores raised about $472m from its IPO in June this year. The firm was reportedly expecting to make 2.2-times cash returns from the float.
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