BY ANIL DAS;
The fund will invest in equity, debt
& equity-linked instruments of promising real estate and construction
companies.
India
Infoline Venture Capital Fund, the private equity arm of the India Infoline
group (IIFL), has completed raising a Rs 500 crore fund dubbed IIFL Real Estate
Fund (Domestic) Series I, according to a company statement.
The
fund will mainly focus on the Indian real estate sector and invest in equity,
debt and equity-linked instruments of promising real estate and construction
companies, which are either involved in projects/ventures or have significant
growth potential.
“We
will target deployment (of the fund) during the current year itself, focusing
on leading and promising projects of top developers in major cities, which are
ongoing or to be launched,” said Balaji Raghavan, CEO and CIO of IIFL Alternate
Asset Advisors Ltd.
Last
week, Red Fort Capital, a private equity real estate fund, raised $500 million
from overseas investors for its second real estate fund focused on residential
properties.
The
last major fund in the real estate sector came when IL&FS Investment
Managers Ltd raised $895 million for IL&FS India Realty Fund II, exceeding
the target of $750 million. IL&FS India Realty Fund II, which was closed in
December 2008, was the largest sector-dedicated fund followed by HDFC’s $800
million HIREF International.
Post-Lehman
crisis, PE investments in real estate sector have taken a hit with overseas
investors staying on the sidelines. Most of the fundraising has focused on
domestic investors, typically HNIs and ultra-HNIs. Residential realty space has
dominated the deal volume during the recovery while commercial real estate
deals picked up in value in 2011. Source: VCCircle
Posts
