KSFC ties up with Keonics for nano-tech park in B'lore

Partners LIC to retail insurance products.

The state-owned Karnataka State Financial Corporation (KSFC) plans to finance and provide consultancy services for large infrastructure projects, IT parks and SEZs in the state.

The firm, which has been financing small and medium enterprises in the state, has entered into a partnership with the Infrastructure Leasing and Financial Services Ltd (IL&FS) and Karnataka State Electronics Development Corporation Limited (Keonics) for providing the consultancy.

"We will provide financial consultancy services, prepare feasibility and detailed project reports for large infrastructure projects in the state. We will also arrange consortium partners for the various projects, get necessary clearances from government departments and also provide finance," V Umesh, managing director, KSFC said.

KSFC recently entered into a partnership with Keonics, another state-owned corporation, for setting up a dedicated park for nano-technology over 80-100 acres on Tumkur road near Bangalore.

Keonics is presently negotiating with the Karnataka Industrial Area Development Board (KIADB) for a suitable location for the park.

The exact amount of funds required for the project and its proposed location will be finalised in six months, Umesh told Business Standard.

The corporation is presently providing financial consultancy services for setting up of two special economic zones (SEZs) at Bangalore and Mangalore.

While the Bangalore SEZ will be for high-end technology companies and R&D units, the Mangalore SEZ is being developed by Oil and Natural Gas Corporation Limited (ONGC) for a petrochemical complex, Umesh said.

"In the last four decades of our existence, we have acquired a considerable expertise in providing financial services to large companies like Infosys, Wipro, Biocon, Reva among others. We will use the experience to fund and serve such large clients in the future," Umesh added.

In addition to this, he said KSFC, IL&FS and Keonics will jointly develop IT parks in Bangalore and Mysore, spread over 30 acres each.

As part of its growth plans and its focus on increasing fee-based income, KSFC today entered into an alliance with Life Insurance Corporation of India (LIC) for retailing their products in the state. An MoU was signed between Umesh and Viswanathan, executive director, LIC here today.

KSFC has a tie up with Iffco-Tokio and UTI for selling general insurance and mutual fund products in Karnataka.