IL&FS raises $150 m

IL&FS Investment Managers has announced the close of its Leverage India Fund (LIF) at $153 million, as against the initial target of $120 million. The fund was also co-sponsored by Punjab National Bank and Taib Bank, Bahrain.

According to a statement from IL&FS, the fund has a structure designed to cater to the varying risk appetites of investors.

"The fund offers preference units with a capped return and an attendant lower risk for investors choosing to maintain such a profile, and regular equity units with unlimited return for investors with a higher risk appetite and a longer-term investment perspective."

The ratio of preference to equity in LIF is 40:60 and the structure has facilitated the participation of relatively new entrants in private equity investments, the statement added.

IL&FS said, this fund is focussed on expansion-related growth opportunities in sectors as diverse as infrastructure, life sciences, textiles and IT where India has a globally competitive advantage. With this closure, IL&FS Investment Managers now has over $400 million under active fund management.

"The buoyant phase of the economy gave a parallel fillip to private equity industry, providing abundant investment opportunities and the fund has started deploying money after the first close," said Shahzaad Dalal, MD, IL&FS Investment Managers.