SG GIC lends helping hand to Indian developers
Property Here - Thursday, March 28, 2013
The Government of Singapore Investment Corporation (GIC) has partnered with Kohlberg Kravis Roberts, a leading global investment firm, to establish a non-banking financial company (NBFC) to lend funds to Indian developers.
The real estate-focused NBFC will be the first of its kind in India and initially will have a corpus of US$150 million (S$186.19 million), reported news portal Livemint.
GIC will be one of the anchor investors in the NBFC with KRR “putting capital from its balance sheet into it”, sources said.
“The NBFC will offer structured debt to real estate companies and it is a good way to bring permanent, long-term debt and equity capital into the sector.”
This partnership comes at a time when banks are setting limits on lending to developers, as a recent slump in India’s economic growth has dampened property demand.
Shabnam Muzammil, Senior Journalist at PropertyGuru, wrote this story. To contact her about this or other stories email firstname.lastname@example.org