International Finance Corporation plans to invest about $50 million (Rs 321 crore) to help Mahindra Lifespace Developers Ltd set up three industrial clusters, the World Bank’s private-sector investment arm said in a disclosure.
IFC will invest in a combination of instruments in one or more special purpose vehicles promoted by Mahindra Lifespace set up for developing the three clusters in Rajasthan, Gujarat and Maharashtra.
The total project cost is estimated at $210 million. Of this, Mahindra Lifespace will itself invest $50 million, IFC said.
It added that the proposed industrial projects are likely to help develop industrial infrastructure for small, medium and large businesses, expand India’s exporting capacity and create jobs.
Mumbai-listed Mahindra Lifespace is part of the diversified Mahindra Group. The developer was set up in 1994. It operates in three business verticals—residential developments, affordable housing and large-format integrated cities and industrial clusters.
The company has a footprint of 14.06 million square feet of completed projects and 8.7 million sq ft of ongoing and forthcoming residential projects. It has also developed Mahindra World City integrated projects in Chennai and Jaipur.
IFC has previously, too, invested in Mahindra Group companies. In May, it said that it planned to invest $100 million in Mahindra & Mahindra Financial Services Ltd and $25 million in Mahindra Rural Housing Finance Ltd via non-convertible debentures.