Anand Jain-controlled Jai Corporation, an infrastructure entity, has successfully garnered commitments totaling five thousand six hundred eighty-six crore rupees through its venture capital management company's two distinct funds.
The Urban Infrastructure Venture Capital, the firm's venture capital branch, serves as the Indian Advisor to UIREF, a Mauritius-based offshore fund dedicated to investing in the Indian real estate sector.
Since its launch in May of the previous year, the Urban Infrastructure Real Estate Fund has secured commitments of approximately two thousand four hundred crore rupees thus far. Additionally, with a new commitment of one thousand sixty-five crore rupees made in May, the Urban Infrastructure Opportunities Fund has now amassed a corpus of three thousand two hundred eighty-six crore rupees, as reported in the company’s recent annual review.
Both funds are designed to invest in special purpose vehicles (SPVs) that are set up specifically for real estate projects within India. Jai Corp has plans to transform these SPVs into substantial real estate development companies by providing requisite funding across various projects. As highlighted in the report, the investment strategy is primarily focused on constructing large-scale integrated townships and multi-use developments.
Initially launched in May 2006, the opportunities fund collected commitments worth two thousand two hundred twenty-one crore rupees right from the outset. After a span of two years, it secured additional commitments amounting to one thousand sixty-five crore rupees, of which 20% has been utilized over the course of the subsequent seven years.
Anand Jain, noted for his longstanding association with Reliance Industries, reflects a significant connection in this strategic venture. He and Mukesh Ambani were classmates at Hill Grange High School in Mumbai. Presently, Jain oversees RIL's foray into Special Economic Zones (SEZs). Sources indicate that the fund's objectives align closely with the initiatives of its principal investor, Reliance Industries.
Jai Corp holds stakes in two entities operating SEZs – Mumbai SEZ and Navi Mumbai SEZ, along with the Rewas Port located in Maharashtra. The company is also gearing up for substantial endeavors in power generation, transmission, and distribution, alongside initiatives in water supply, gas distribution, engineering, procurement and construction, as well as IT and telecommunications. Furthermore, Jai Corp manufactures cold-rolled coils, galvanized coils, and corrugated sheets at its facility in Nanded, Maharashtra.