Private equity giant Carlyle Group [CYL.UL] said on Thursday it has invested $27.7 million in Repco Home Finance Limited, a Chennai-based housing finance company focusing on Southern India.
The funds will be used to improve Repco's equity base, allowing it to expand its loan portfolio, Carlyle said in a statement.
The investment will come from Carlyle Asia Growth Partners III, a $680-million fund that invests in high-growth companies in India, China, Japan and Korea.
Repco, a subsidiary of Repatriates Co-operative Finance & Development Bank Ltd, has been in the housing finance business since 2000.
It provides loans to its customers for construction or purchase of residential plots and houses, repairs and renovations of existing houses, and other construction and commercial loans.
“Carlyle's network of relationships may act as a catalyst in Repco's evolution into a top player in the housing finance market,” said Shankar Narayanan, Managing Director and Head of Carlyle Growth Capital team in India.
Source: Reuters