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Our Bureau

Hyderabad, Aug 15 Indu Projects Ltd, an infrastructure and realty company, has received an investment of $77 million (Rs 325 crore) from Credit Suisse, a leading global financial services company.

This is the first tranche of an overall committed investment of $113 million (Rs 476 crore) into the company.

According to Mr I. Syam Prasad Reddy, Chairman and Managing Director of the Hyderabad-based company, the investment was against an equity dilution of roughly 13-14 per cent. The funds are mainly to support the company’s plans for large infrastructure projects in future.

Indu Projects already has investors in the form of Citigroup Ventures, Maple Holdings, IDFC, etc. However, post-divestment, the promoters would still hold 70 per cent equity, he told Business Line.

The company, which planned an initial public offer (IPO) in May-June 2008 had to defer it and instead went in for private equity. The investment from Credit Suisse shows the strengths of the company, especially in a tough market situation for realty and infrastructure, Mr Reddy added.

Indu Projects has been growing and achieved a turnover of over Rs 1,300 crore by end of March 2008 with businesses in the areas of core infrastructure and real estate. “With this huge investment and fund availability and orders in hand, we are targeting an 80 per cent growth this fiscal and hope to touch Rs 2,000 crore,” he said.

Indu plans to enter contract coal mining and to build health cities, agro food parks and rural transformation centres as part of its theme ventures operations, Mr Reddy said.

Mr Sameer Nayar, Managing Director and Head of Real Estate Finance, Asia Pacific, Credit Suisse, said: “This investment bolsters Credit Suisse’s long-term commitment to India. We have a great partner in Indu and we view this as a tremendous opportunity to participate in the strong growth of the country’s real estate and infrastructure sectors.”

More Stories on : Venture Capital | Real Estate & Construction

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