Homegrown private investment firm IndiaNivesh Fund will pick up a minority stake in Pune-headquartered facility management services provider CLR Facility Services Pvt. Ltd for an undisclosed amount.
He added that the investment will fuel the company's inorganic strategy where it aims to enter new geographies and service segments.
Last January, CLR had acquired a majority stake in Mumbai-based Right Resources Corporate Services Pvt. Ltd.
Incorporated in 2008, CLR Facility Services supplies manpower and handles facility management. The company's 9,000-strong workforce serves clients in 25 cities.
The company said its consolidated sales stood at Rs 120 crore in the financial year 2016-17.
Catalyst Partners, a Mumbai-based advisory boutique founded by Sanket Deshpande, served as financial advisor to CLR.
IndiaNivesh Fund is managed by non-banking financial company IndiaNivesh Capital and First Bridge Capital Partners.
Its first fund, IndiaNivesh Growth & Special Situations Fund, has a target corpus of Rs 150 crore.
Last June, VCCircle reported that IndiaNivesh had hit the road to raise its second India-focussed fund with a target corpus of Rs 350-400 crore.
Facility management services
In April last year, private equity firm Samara Capital had acquired Sanjay Maintenance Services Pvt. Ltd through a management buy-in led by former executives of ISS Facility Services India Pvt. Ltd, by setting up an investment platform out of the target company.
In February, Chennai-based integrated facilities management services firm Updater Services Pvt. Ltd raised Rs 100 crore from MOPE Investment Advisors Pvt. Ltd.
Fairfax-controlled Quess Corp (earlier Ikya Group), which is a subsidiary of tour operator Thomas Cook (India) Ltd and had a stellar listing last year, has been growing through acquisitions, diversifying and creating a string of services.
In October last year, Quess Corp acquired a 70% stake in Vedang Cellular Services Pvt. Ltd for up to Rs 40 crore ($6.2 million).