Declining to reveal the PE entity and amount being raised, Manoj Namburu, chairman and managing director of Alliance Group, said, "The group last week signed the term-sheet with a PE player and presently we are observing a 90-day gag order."
"The 10 per cent dilution will help us raise funds for our ongoing projects and develop new ones. The group currently has a land bank of 650 acres spread across Bangalore, Hyderabad, Chennai, Coimbatore and Mysore," he added.
The group last year raised Rs 600 crore in foreign direct investment from US-based Westport Capital for its special purpose vehicle (SPV) -- Alliance Infrastructure Projects Private Limited -- floated to develop its Hyderabad project.
"The group, which is in the fourth year of its operations, has 13 projects in five cities valued around Rs 5,000 crore," said Namburu.
On Thursday, Alliance Group launched a 275-acre integrated township in Bangalore's Electronic City area, off Hosur Road, for a budget of Rs 1,500 crore.
"The group has raised Rs 120 crore through a consortium of banks led by Indian Overseas Bank (IOB) and the Central Bank of India. The balance amount is being generated internally and through customer advances," said Namburu.
Project, 'El Dorado Park', is being built in phases and will have 1,100 villas, 200 row houses, ranging from 2,400 square feet to 15,000 square feet in the price range of Rs 1.15 crore to Rs 7 crore. To promote the project, Alliance Group has roped in Indian cricket captain Anil Kumble as its brand ambassador.
"The cricket icon has invested in an 'El Dorado Park' villa and we cherish his qualities of total commitment, and dedication and are proud to have him as our group's brand ambassador," said Namburu.
