PTI
MUMBAI, JAN 29
Tata Group’s financial services venture, Tata Capital, today said it will foray into the private equity arena with the launch of Rs 1715 crore fund in the next three to four months.
‘We are looking at launching our first private equity fund in the first quarter of the next fiscal. It will be an Rs 1715 crore kind of fund,’ Tata Capital’s managing director and CEO Pravin Kadle said.
The fund would invest mainly in India and not target any specific sector, he said, adding that it would have a diversified investors’ base.
The fund would focus primarily on growth and expansion-equity investments, he said adding that it might selectively consider late-stage venture capital investments and buy outs.
Tata Capital, Kadle said, also plans to venture into the housing loan segment in the next three to four months aiming to create a good presence in the area.
‘I know there is lot of competition, but the potential is huge. We will not necessarily concentrate on the metros,’ he said.
With an asset base of Rs 6,828 crore as on September, 2008, up from Rs 3,329 crore in March the same year, Tata Capital has presence in retail & corporate finance, investment banking, broking & distribution, wealth management and treasury advisory.
Aspiring to become one of the leading financial services companies in India with a global footprint, Tata Capital also plans to explore new business oportunities, pursue strategic acquisitions & alliances and expand client base & geographical presence in future and consolidiate its presence in the existing areas.
Tata Capital would also explore possibilities of alliances and joint ventures with foreign and domestic entities offering complimentary lines of business.
The net NPA of the company stood at 0.5 per cent aggregating at Rs 34.48 crore as on September 30, 2008.
The capital adequacy ratio of the firm was at 26 per cent as on September, 2008.
Tata Capital will issue five-year non-convertible debentures aiming to raise Rs 500 crore with the option of retaining oversubscription of additional Rs 1,000 crore. The issue will open on February 2.
