Warburg Pincus Investment and Nirvana company jointly build supermarket compound retail chain business

Indonesia's burgeoning real estate development and operator Nirvana Development Tbk PT (Stock code NIRO.JKT, abbreviated as "Nirvana") announced today that The world's leading private-equity investment group, Warburg Pincus, will invest 125 million of dollars in a joint venture with Nirvana to build Indonesia's best retail platform. In addition, Warburg retains the option to invest no more than 75 million dollars in its additional investment. With the urbanization, consumption growth and economic growth of Indonesia's two or three-tier cities higher than in other regions, the joint venture will build a mega-supermarket complex retail chain business mainly in Indonesia's second-and third-tier cities. Warburg Pincus and Nirvana have a shared vision of Indonesia's retail market and have led to a strategic partnership between the two sides. The Indonesian archipelago is still in its early stages of development, and the country's retail industry is at the forefront of the world, and Nirvana can take the lead with rapid business expansion. The JV will be injected with 4 operating assets and several projects under construction. The company's long-term goal is: to choose a densely populated, fast-growing areas of the region to build first-class shopping malls, and ultimately to create a good Indonesian retail chain platform. Mr. Wilson Effendy, CEO of Nirvana, said: "We are very pleased to be able to work with Warburg to accelerate the development of Nirvana and create a leading retail company in Indonesia." Through this strategic partnership, we will strengthen and expand our resources in the retail sector to provide quality services and growth to our tenants and other stakeholders. We look forward to the support of Warburg Pincus in the global and Asian retail sectors to help the company achieve a rapid development in the next few years. "In addition to the capital Jakarta, the middle class population in other parts of Indonesia is growing fast, the modern retailing industry is still in its infancy, and Indonesia's Pan Jian is a huge opportunity," said Mr. Jeffrey Perlman, managing director of Warburg Pincus. We are very optimistic about Nirvana solid local industry strength and operating experience, plus the past has helped many companies to invest in the growth of experience, we will be the positive outlook for Indonesia's economy and the emergence of the middle class to benefit from the trend. It is believed that under the leadership of Mr. Effendy and the management team, the new joint venture will become the leading company in the Indonesian retailing industry. "The investment is still pending shareholder approval and other delivery terms, and the two sides are expected to complete the deal early in 2015." Nirvana Development Tbk PT, headquartered in Jakarta, is the leading real estate developer in Indonesia. Nirvana's business covers shopping malls, real estate, hotels and other real estate developments. The company's main projects include Miri (Cirebon) 's Cirebon Super block, Thoreau's (Solo) thE Park Solo, Poncalamboon (Pangkalan Bun) Borneo Mall and Borneo Sampit, Mall Kalimantan, Pulau City Borneo. Warburg has been investing in Asia since 1994 and has a wealth of investment experience in both the retail and consumer goods industries in the global and Asia Pacific region. Warburg has successfully invested and built well-known enterprises including Yintai department store, hongxing United States, Mattel ("Barbie" brand company), the United States Niemann (Neiman Marcus) and the British large chain store brand Poundland. The investment is funded by Warburg Warburg 11th (Warburg Pincus Private Equity XI, L.P), and other retail investments in Asia include the China Car rental, king and the vincom retail companies in Vietnam.