Investcorp raises $130m for real estate initiative in India

BAE Systems Pension Funds Investment Management, a U.K.–based investment management firm, has committed $130 million to Investcorp in an effort to provide last-mile funding in India. The initiative will focus on projects in the affordable and mid-market housing segment in the top seven cities in India.

“We believe that the Indian affordable housing segment represents a sizeable and attractive market opportunity catalyzed by urbanization and structural reforms,” said Vikram Aggarwal, head of private markets at BAe Systems Pensions, in a statement.

Investcorp’s real estate business has deployed more than $200 million through 27 residential projects in India. The funds provided structured senior credit to mid-market and affordable housing projects being developed by well-established developers in top-tier cities. The firm has also made five investments in the mid-market private equity space in India, including Zolo Stays, Citykart, Intergrow Brands, Bewakoof, and