One of the leading real estate groups in the country, Piramal Group, has raised Rs 800 crore in capital through its private equity arm, Indiareit Fund Advisors.
Capital Raised
The firm announced that Domestic Scheme V achieved the fundamental fund size of Rs 760 crore last week. The scheme currently stands at Rs 800 crore and is expected to reach the target fund size by the end of this year.
Investment Plans
The group plans to invest the raised funds into the development of residential projects in various parts of the country. The money was raised exclusively from domestic investors, including Piramal Enterprises, which contributed about Rs 60 crore.
Future Prospects
With this infusion, Indiareit Fund becomes one of the few managers to have raised significant capital this year. This will enable the fund to commit to larger deals in the near future.
Fund Expansion
The fund also exercised the option to raise an additional Rs 205 crore due to high demand. It is now targeting to raise Rs 1,000 crore for the project.
Business Portfolio
In the financial services domain, the group holds a real estate-focused PE fund, Indiareit, and a non-banking financial company (NBFC) that focuses on lending to the real estate and education sectors.
Company Overview
Piramal Enterprises is one of the largest diversified companies operating in the pharmaceutical, financial services, and information management sectors. The conglomerate boasts combined revenues exceeding $680 million for the financial year 2013.