IL&FS Investment Managers Ltd is planning to launch its second realty fund.
The first fund, IL&FS India Realty Fund, was floated in 2006 and raised $525 million. The money was invested in around 20 projects.
Sources said the second realty fund would be “one-and-a-half times the size of the first fund”. The company didn’t give further details.
IL&FS Investment Managers Ltd is the private equity investment arm of Infrastructure Leasing & Financial Services Ltd.
Along with Milestone Capital Advisors, the company recently launched a real estate investment fund to raise Rs 1,000 crore to invest in leased and rented properties.
The fund managers expect to raise about Rs 500 crore. There is a greenshoe option to raise another Rs 500 crore.
The fund named IL&FS-Milestone Fund-I may be listed after three years.
“We will take two months to raise the money and 12 months to deploy it,” Milestone managing director Ved Prakash Arya said.
This fund will be for people who are risk-averse, Arya added.
Source: The Telegraph