For Quick Alerts
ALLOW NOTIFICATIONS  
For Daily Alerts

Piramal joining hands with Canadian pension fund company to start realty finance firm: Report

By Religare
|
Piramal to partner CPP to start realty finance firm
Ajay Piramal led Piramal Enterprises is set to expand its footprint in financial services sector by starting a realty finance firm in partnership with Canadian Pension Plan (CPP), one of the top 10 retirement funds in the world, reported Economic Times.
 

According to the report, the two partners will invest together USD 500 million in 50:50 Joint Venture that will specialise in debt and structured finance and may kick-start operations from next year.

The venture may not provide equity funding to the realty sector, thanks to the poor corporate governance. Financiers, especially for the realty sector, prefer debt exposures like investments in listed non-convertible debentures, debts with equity kickers, junior debt with a second charge on the collateral, and even plain-vanilla loans against land and cash flow from properties, said ET report.

Piramal Group has been focusing on the realty sector after it sold its domestic formulations business for USD 3.7 billion in 2010. Its real estate private equity arm manages a total corpus of Rs 4,343 crore across five funds and two third-party mandates.

Dion Global Solutions Ltd.

Company Search
Get Instant News Updates
Enable
x
Notification Settings X
Time Settings
Done
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X
We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Goodreturns sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Goodreturns website. However, you can change your cookie settings at any time. Learn more