PAG bet $1 billion on Indian real estate post NBFC liquidity crisis

Scales up lending at a time when most big lenders shying away from sector

Asia-focused investor PAG has taken a contra credit bet in Indian real estate over the past couple of years while most lenders have shied away from the sector in the aftermath of the NBFC liquidity crisis following IL&FS’ defaults in September 2018.

What has been noteworthy is that PAG scaled up lending at a time when most of the big lenders such as Indiabulls, Edelweiss, and Piramal undersold their real estate loans. In fact, PAG significantly scaled up lending through the pandemic not just in India but in its core markets such as China and Australia.

PAG did many big