Reuters reported that India's TATA Group hopes to close a USD 1 billion infrastructure fund by the end of the year as it lines up plans to make heavy investments in the country's high potential infrastructure and real estate sectors.
Mr Kishore Saletore CFO of TATA Realty and Infrastructure Ltd said the fund opened in mid 2008, but has only recently seen strong interest from Asian and European investors with firm commitments for about a quarter of the total. He said this will meet a large part of our equity and debt requirements elections were a decisive factor and investors are very excited.
TATA Realty, wholly owned by group holding firm TATA Sons, on Wednesday outlined plans to invest about INR 200 billion over 3 years, focusing on urban infrastructure such as roads, airports, metro rail, and large real estate projects.
As per report, there will be INR 110 billion for real estate and retail, about INR 50 billion for road projects and another INR 40 billion for other infrastructure. It will use funds from the offshore infrastructure fund and from a USD 700 million realties fund raised in Dec 2007 for investing in projects.
Source:SteelGuru