Released on 06/28/2017, DMI Finance
Non-banking financial company DMI Finance Pvt. Ltd is entering the stressed assets space with a Rs 1,000-crore ($155 million) fund, joining a raft of global and domestic heavyweights looking to tap the burgeoning segment.
“We expect the final close of the distressed asset vehicle around March 2018,” Shivashish Chatterjee, co-founder and joint managing director, DMI Finance, told VCCircle. The first close, at Rs 300 crore, will happen in three to four weeks, he added.
The fund is expected to have a mix of domestic and international investors, with the bulk of them likely to be international institutions and ultra high-net-worth individuals and family offices
The fund’s ticket size is expected to be Rs 40-50 crore. However, it could be significantly larger or smaller depending on the opportunity, Chatterjee said.
The vehicle is expected to invest in real estate assets in the first couple of years, after which it will explore opportunities in other sectors. However, it is open to investing in bank-type non-performing assets (NPAs), or assets involving participation of asset reconstruction companies (ARCs). “The idea for us is to be as opportunistic as we can be…Today, we see the most executable opportunity in real estate,” Chatterjee explained.
“We believe there is significant value embedded within distressed assets in India. With our direct access to leading global institutional investors, we believe we have the ability to unlock this value and deliver superior returns to our investors,” Yuvraj C Singh, co-founder and joint managing director of DMI Finance, said
DMI Finance, founded in 2008 by former Citigroup executives Chatterjee and Singh, has been in the real estate financing space for almost nine years. In 2014, it ventured into retail housing finance through DMI Housing Finance Pvt. Ltd.
DMI Finance, founded in 2008 by former Citigroup exe READ MORE
Released on 06/29/2017, Livemint
DMI Finance is raising the fund to focus on special opportunity situations in the real estate sector as well as the distressed assets space
Mumbai: Delhi-based DMI Finance Pvt. Ltd, a non-banking financial company (NBFC), is raising a fund of up to Rs1,000 crore to focus on special opportunity situations in the real estate sector as well as the distressed assets space, a senior executive said.
DMI Finance, founded in 2008 by former Citigroup Inc. executives Shivashish Chatterjee and Yuvraj Singh, is an India-focused financial services company with businesses in corporate lending, housing finance, consumer finance and asset management.
The company has raised $300 million across its businesses since 2008 and disbursed over Rs4,000 crore. Its investors include global institutions and ultra-large family offices. In 2013, the Burman family, promoters of consumer products maker Dabur India Ltd, bought a minority stake in the company.
“We are looking to raise around Rs1,000 crore for the fund. We expect an initial close of around Rs300 crore in the next 3-4 weeks and the final close by March 2018,” said Shivashish Chatterjee, co-founder and joint managing director at DMI Finance.
On the real estate side, the firm’s strategy is driven by pressure created on developers’ financial health due to a slowdown in residential real estate sales over the recent few years and the introduction of the Real Estate (Regulation and Development) Act, Chatterjee said.
“In the last 3-4 years in the residential space, there has been a significant slowdown in final sales. End buyers have stepped away from markets. Land sales have come almost to a stand still. High end projects have come down fairly dramatically. The lack of final sales means the cash flow visibility that most real estate developers need in order to service the current levels of debt, is not there,” said Chatter READ MORE
Released on 13th Dec-2015, The Economic Times
Realty firm Vipul Ltd has raised Rs 150 crore from DMI Finance Ltd to develop a luxury housing project in Gurgaon.READ MORE
Released on 22nd Jul-2015, Business Standard
Singapore-based DMI Income Fund today said it has invested USD 7.8 million (about Rs 50 crore) as debt in realty firm Ansal API and plans to invest up to USD 250 million in Indian credit market.
Foreign portfolio investor DMI Income Fund "invested USD 7.8 million in June in non-convertible Debentures issued by the Delhi-based Ansal API group", the statement said.
This is DMI Income Funds first investment in the Indian credit space.
Other Related Links:
Released on 25th Sep-2014, VCCircle
DMI Housing Finance Pvt Ltd, a subsidiary of Delhi-based non-banking finance company DMI Finance Pvt Ltd, has started its retail housing finance business, the company said in a release.READ MORE