Adidas, the renowned German sportswear giant, has leased 45,000 sq ft in Chennai to establish its first Global Capability Centre (GCC) in India. This marks the company’s inaugural centre in Asia outside of China.
The centre, which can accommodate 700 employees, is situated in Smartworks’ facility at Olympia Pinnacle on Old Mamallapuram Road, Chennai’s prominent IT corridor. Sources indicate that the starting monthly rent for the space is ₹65 per square foot.
While Adidas confirmed the lease in an email, they withheld further details. ‘We can confirm that we have recently rented a new office space in Chennai, India,’ stated the corporate communications team. Smartworks has not provided additional information regarding the lease.
Earlier this year, reports surfaced about Adidas’ plans to launch its first GCC in India, aimed at enhancing functions such as planning and analysis, invoice-to-cash, record-to-report, and source-to-pay. The centre is spearheaded by Akhil Kapoor, Vice President of GBS Global Procurement and Head of GBS in India. Kapoor announced on LinkedIn that the GBS Chennai hub has now relocated to the Smartworks office. He described the new facility as ‘state-of-the-art,’ highlighting its significant upgrades in infrastructure, facilities, and accessibility.
The GCC in Chennai is part of a broader trend where global multinationals leverage India’s cost efficiencies and rich talent pool. As of FY23, India hosted approximately 2,740 GCCs, according to CBRE India. While Bengaluru remains the top choice for GCCs, Chennai houses around 9% of the nation’s total, with GCC leasing reaching 3.5 million sq ft in FY24.
Chennai’s OMR zone has attracted significant investments, including Bank of America’s 1.1 million sq ft lease in December last year, one of its largest centres outside the US. Adidas’ new centre underscores India’s growing appeal for global firms seeking advanced capabilities and innovation.
As Adidas sets up its pioneering Global Capability Centre in Chennai, the move highlights the increasing trend of global investments in India. For businesses looking to navigate the complex legal landscape of establishing operations in India, Vakilsearch offers expert guidance and support to ensure seamless compliance and strategic growth. Contact us today to learn how we can assist your business in thriving in the dynamic Indian market.
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