Altico Capital invests Rs 575 cr in realty projects

Has entered into a multi-project financing arrangement with Pune-based Marvel Developers

Non-banking financial company (NBFC) Altico Capital on Wednesday said it had invested Rs 575 crore across three real estate projects in Mumbai, Pune and Bengaluru. The NBFC is backed by Clearwater Capital Partners, Varde Partners and Abu Dhabi Investment Council.

Altico has entered into a multi-project financing arrangement with Marvel Developers of Pune. Additionally, it concluded its second transaction with Midcity group, a developer focused on society redevelopments in Mumbai, and also closed its third transaction in Bengaluru, financing Unishire against a portfolio of five projects.

“These transactions appealed to us from the standpoint of product offering, promoter comfort, project stage and multiple cash flow streams. They have been structured to provide a win-win solution to the developer and us by aligning project execution with the prevailing market scenario,” said Amit Pachisia, chief credit officer.

Sanjay Grewal, chief executive officer, said, “Altico continues to focus on its core strategy and looks to build a stable business deploying Rs 2,500 crore  in Tier-I cities each year. We expect to close out similar amounts of disbursements of around Rs 600 crore in this upcoming quarter.”

Further, the board of directors has approved raising of funds up to Rs 2,000 crore through a mix of instruments and funding sources including bank lines, commercial paper and non-convertible debentures (NCDs) to support its asset growth plans.

Altico recently roped in banking veteran Naina Lal Kidwai as an independent non-executive director on its board.