By

IL&FS Investment Managers  is considering raising a fund to invest in India's overstretched city and social infrastructure in 2010, the head of the country's oldest private equity firm said on Thursday.

n

Archana Hingorani, who manages $2.5 billion, said the key ingredients for the development of core infrastructure such as highways, ports and power plants were in place but water, sewage, healthcare and roads in cities were crumbling.

n

"We could look at a fund for city infrastructure sector, may be in 2010. We are very clear there are opportunities, but have we structured a potential fund for it? Not yet," she said told Reuters in an interview.

n

The urban and social infrastructure fund would be feasible to start at around $200 million, Hingorani said.

n

The firm also hopes to raise another $200 million for an Asia infrastructure fund it runs with Standard Chartered  by September to take the size to $800 million, she said.

n

IL&FS, which manages seven funds including two real estate funds worth $1.4 billion, also plans to launch funds in 2010 as most of the money would have been committed, she said.

n

Leave Your Comment(s)