While it’s raising a $400-million proprietary fund, it’s also in talks with the UK-based PE fund Trikona Capital to raise $500 million, spread over two sector specific funds. This apart, IIML will also set up a $1-billion PE fund with Abu Dhabi Investment Corporation for investments in infrastructure.
IIML and Trikona Capital already have two sector-specific PE funds for investments in real estate and hospitality. The corpus of these funds is $100 million each. IIML’s proposed PE funds with Trikona Capital will also be for real estate and hospitality. The corpus of both the sector-specific funds is expected to be $250 million each.
The proprietary fund that will be raised by IIML will invest only in infrastructure projects in India. When contacted by ET, IIML vice-chairman & MD, Shahzaad Dalal, declined to comment. Sources say the proposed fund would be raised by the company over the next three to four months.
IIML currently manages assets worth $1 billion in several funds and also manages a $56-million proprietary fund of IL&FS. IIML has deployed $10 million of its $100 million PE fund set up jointly with Trikona Capital for investments in infrastructure and real estate.
In October last year, the fund invested $9 million in IL&FS Transportation Networks Limited for a 2.5% stake. The second fund, jointly promoted by IIML and Trikona Capital, is the hospitality fund which has deployed $60 million of its $100 million.
The $1-billion PE fund with ADIC will make investments in infrastructure assets in West Asia and North Africa. Both ADIC and IL&FS will commit around $50 million to the new fund.