India Infoline Forays into Real Estate Business by Acquiring an IT Park in Chennai

March 15, 2008	(Be the first to rate this story!)  Loading ...
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Financial services provider, India Infoline has acquired an IT park in Chennai for about Rs 80 crore and is entering into a partnership with Indus group to promote real estate projects. The newly acquired facility will function as a captive centre that will offer back office support for the company’s India operations.

The IT park, called ‘Techscape Towers’ was owned and developed by city-based Indus Group, a 25-year old realty player promoted by the Lunawath family. The partnership with Indus is part of Indus Infoline’s strategy to diversify into the real estate business.

Confirming the move, Indus Group joint managing director Mahaveer Lunawath said, “We will jointly promote real estate projects by means of a special purpose vehicle (SPV). As part of this partnership, we have embarked on a commercial project in Madurai and a residential project In Chennai. We will also look at projects in Bangalore and Hyderabad.”

Officials at India Infoline could not be reached for comment. Sources close to the development added the investment had been routed through India Infoline’s subsidiary, IIFL Realty Limited. The company had zeroed in on Chennai because of the availability of skilled personnel and will also be useful to create a base in South India.

The India Infoline group, comprising the holding company India Infoline Limited and its wholly-owned subsidiaries, offer services such as equity research, equities and derivatives trading, portfolio management services, life insurance and investment banking.

Techscape Towers spread across 2.25 lakh square feet has a seating capacity of 2,500 and will be fully ready for occupation in another two months. It is covered by STPI tax benefits, which is due to expire next year.

India Infoline recently announced that it will raise Rs 555 crore through allotment of 37 lakh shares on preferential basis to Orient Global Tamarind Fund Pte Ltd. Orient Global Tamarind Fund is part of the Singapore- based private investment firm Orient Global group.

News Published Under:   Chennai, Real Estate Developers |

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