Piramal Fund Management has introduced ‘Piramal Preferred Partner’ programme whereby its selected existing development partners are allowed to draw from a pre-sanctioned limit to pursue opportunistic acquisitions.
PFM intends to commit an amount of Rs 15,000 crore in the first phase of this programme to a select group of existing relationships.
By making capital available at an earlier stage, the developers would be able to focus on their core competence i.e. originating the best transactions available in this marketplace without worrying about their external financing requirements which typically tend to distract them from the project specific underwriting.
In keeping with the platform’s philosophy, this line would be fungible across the entire suite of funding and financing options that the platform is capable of extending – right from early stage equity to senior secured debt/construction finance and even a structured bulk purchase of individual units.
Khushru Jijina, Managing Director, Piramal Fund Management, said, “This is a concept that was borne out of the relationship driven approach that we have always exhibited with our development partners. We were already prevalent across the entire capital stack and able to act as a perpetual provider of capital for multiple projects. By offering this facility, our development partners will always be able to demonstrate a competitive advantage as against their peer group.”