IL&FS Infra Asset Management, an asset management company promoted by IL&FS Financial Services, has raised $120 million for its IL&FS Infrastructure Debt Fund. The fund is managed by Life Insurance Corp. of India and IL &FS Financial Services.
The debt fund, which launched in February 2013, held an initial close on Dec. 14, 2013. The firm is currently targeting a raise of $1 billion but has plans to increase its fundraising goal.
“Our initial fundraise is just the beginning — we eventually intend to scale up the asset under management to $5.0 billion through launch of various other schemes targeting fund raising from domestic and offshore long term investors,” Ravi Parthasarathy, chairman at the IL&FS Group, said in a statement.
The IL&FS Infrastructure Debt Fund will invest in infrastructure projects, particularly in the operational roads, renewable power and energy sectors located in India.
IIAML will launch more infrastructure debt funds targeting domestic insurance and pension funds, apart from a few offshore investors through whom funds are proposed to be raised via feeder fund route.