IIFL Alternate Asset Advisors Ltd, a part of the diversified financial services firm IIFL Holdings Ltd, is raising a new real estate fund that will focus on investments in residential projects, similar to its maiden real estate fund of 2012, after scrapping its earlier plan to raise a land-centric fund, said two people familiar with the development. The proposed fund will have a Rs 500 crore ($83 million) corpus with an additional Rs 250 crore ($41.5 million) that can be added later. “The Rs 750 crore fund will look at deals in smaller cities for the first time, apart from the usual metros,” this person said. “The fund is expected to hit the market by July. (Live Mint) 

HDFC Bank seeks shareholders’ nod to raise Rs 10,000 cr: Though it has sought approval of the shareholders to raise up to Rs 10,000 crore ($1.65 billion) at the Annual General Meeting, HDFC Bank may raise capital according to its requirement, said Aditya Puri, CEO and MD. HDFC Bank’s capital adequacy ratio in FY14 was at 18.4 per cent as compared to the RBI’s requirement of 9%. The bank, which is India’s second largest private sector bank, is planning a capital expenditure of Rs 600 crore ($100 million) as it intends to open 300-400 branches and ATMs in FY15, Puri said at the AGM. The bank is also awaiting the Finance Ministry’s approval to raise its foreign shareholding limit which had reached the 74% limit. (Business Line) 

Ujjivan to raise Rs 350 crore through PE route: Bangalore-based Ujjivan Financial Services, one of the highly-regarded microfinance institutions (MFI), is set to raise a record Rs 350 crore ($58 million) through the private equity route. This will surpass the Rs 320 crore ($53 million) PE funding that another Bangalore-based MFI, Janalakshmi Financial Services, raised in 2013-14. Ujjivan's latest fund raise will also surpass all its previous funding rounds put together. He said Rs 250 crore ($41.5 million) will be the primary infusion and the rest will be to provide part liquidity to the MFI's earlier investors. (Business Standard) 

Lightspeed Venture Partners may invest $20-30 mn annually in India: Lightspeed Venture Partners (LVP), a US-based venture capital fund, is looking to invest between $20 million and $30 million (Rs 120 crore – Rs 180 crore) in India annually. Earlier this year, Lightspeed raised its tenth fund globally, with a corpus of $1 billion. Of this, about $650 million will be invested in early stage companies and the rest in later stage companies. “We are looking to invest in two-three early or expansion stage companies in India for FY15. These would be in the range of $7-8 million (Rs 42 crore – Rs 48 crore) per company,” said Bejul Somaia, managing director, LVP India. (Live Mint)

Courtesy: VCCEdge

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