Bengaluru-based real estate developer Ozone Group, backed by Urban Infrastructure Venture Capital Ltd, is set to raise around Rs 250 crore to fund its expansion, a top company executive said.
"We are in the process of launching our new project at Bengaluru during September this year. The project, spread over 4 acres land on Magadi Road, about 7 km from M G Road, will have around 700,000 square feet area," Ozone Group CEO Srinivasan Gopalan said.
He said this will be its second fund raise this year. Recently, Ozone Group raised Rs 145 crore from Aditya Birla Real Estate Fund through apartment bulk-buying route. The Fund has underwritten 75 apartments in its ongoing mixed-use project The Metrozone at Anna Nagar in Chennai. The Metrozone project is spread over 40 acres and has 6 million sq ft under development. It has already completed and delivered 1.3 million sq ft.
“We are in talks with several private equity players for raising Rs 250 crore. If all goes well, we might end up closing the deal in the next couple of months,” Gopalan said.
He said the company aims to launch the new project by September in Bengaluru, which he claims will be the most sought after as it is located just 7 kms from the central business district. It is currently executing its first integrated township project, Ozone Urbana, at Devanahalli near the international airport in Bengaluru. The project is spread over 180 acres and will be developed in phases over the next seven years.
“Currently, we are sitting on a land parcel of around 400 acres in three cities – Bengaluru, Chennai and Goa. We have two projects under development in two southern cities and will launch the luxurious villa cum resort project at an island towards north of Goa by end of this year,” Gopalan said.
Also Read
The company is in possession of 140 acres in Goa and is currently waiting for approvals, he said.
Apart from having its own land parcel, where it is developing several projects, Ozone Group is also looking at joint development opportunities. “We are in discussion with several interested parties and hope to sign at least 10 deals for a joint development of 15 million sq ft area in Bengaluru and Chennai,” Gopalan said.
In 2014, global private equity fund Blackstone Group had invested Rs 190 crore in the company.
Ozone Group expects to close the current financial year with a topline of close to Rs 600 crore, a growth of 25 per cent over the previous year. It hopes to almost double it in the next financial year, he said