By Andy Sambidge
Qatar Investment Authority reportedly set to invest in Bangalore real estate developer
Qatar Investment Authority is set to invest $300m in an Indian real estate developer, it was reported on Tuesday.
According to sources cited in the Economic Times, the Qatari sovereign wealth fund is planned to invest in Bangalore-based real estate developer and South India's largest office space builder RMZ Corp.
"The deal is in advance stage. QIA has committed to give money, and it will be based on project requirements. The investment will be equally split into a combination of equity and debt," a source close to the deal told the newspaper.
"QIA will invest in the same SPV as BPEP and will back RMZ to buy IT parks worth 3,000 crore. Jointly, both partners will look at acquiring commercial spaces across Bangalore, Hyderabad, Chennai and Pune. RMZ has already identified the project and the money is expected to be deployed by March 2014," he added.
The newspaper said that Raj Menda, managing director RMZ Corp, could not be reached for comment, while an email sent to QIA remained unanswered.
The family-owned RMZ Corp has a portfolio of over $3bn and is also looking to list its office properties by 2015 through Real Estate Investment Trust (REIT) in markets such as Singapore and Thailand, the paper said.