| According to sources close to the development, the investment major is in advanced stages of talks with ACME to pick up a stake in the SPV for developing IT parks and townships in the central suburbs of Mumbai. |
| Others in the fray to pick up a stake in ACME include US-based private equity firm Capitaline Advisors and American bank, Wachovia. |
| ACME managing director Munish P Doshi declined to comment on the matter. Shahzaad Dalal, vice-chairman and managing director, IL &FS Investment Managers, said, "We are looking at a lot of proposals, but are yet to take a final view on this project." |
| The ACME Group has developed over 58 projects in Mumbai in the last 30 years. The company's ongoing projects include Acme Mall in Santacruz, Akshay Girikunj-4, Amartaru -VII, Acme Complex and Acme Amay in the western suburbs, Acme Ozone in Thane and Acme Avenue in Kandivili. It is also developing a tech park and an industrial park in Mumbai and an IT park in Pune. |
| The higher interest rates, cap on lending to commercial real estate, blocking of preference share route, stringent norms of valuation and disclosure for realty companies have compelled the realty companies to seek private equity in the last six months. |
| IL&FS Realty Fund has raised $525 million to invest in Indian realty projects. It invests in equity/equity-related instruments of the Indian realty companies and targets an annual internal rate of return in excess of 25 per cent. It has committed investments in 11 projects so far and exhausted 75 per cent of the total funds raised. It recently invested $100 million in real estate start-up, QVC Realty. |
| The global slowdown in property revenues and higher rate of returns in Indian realty have led the global private equity funds such as Blackstone, Citigroup, Goldman Sachs and domestic firms such as ICICI, Kotak, HDFC and IDFC to increase their exposure to Indian real estate. |
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