Mumbai, March 25 -- Alternative investment firm Alpha Wave Global has committed to investing Rs 12.5 billion ($145 million) in I-Ven Realty Ltd, a joint venture between Oberoi Realty Ltd and its chairman & managing director, Vikas Oberoi.
With this investment, Alpha Wave will acquire a 21.74% stake in I-Ven Realty on a fully diluted basis, according to Oberoi Realty's stock exchange filing.
I-Ven Realty, originally formed in 2003, is engaged in construction, development, and real estate operations. The fund infusion-a precondition for Alpha Wave's stake acquisition-will primarily be used to repay loans taken from Oberoi Realty and Vikas Oberoi.
In addition, Oberoi Realty and Vikas Oberoi will invest an additional Rs 1.65 billion ($20 million) in I-Ven Realty through 4.125 million redeemable preference shares.
The joint venture, which was initially formed to acquire a four-acre land parcel in Worli from GlaxoSmithKline, has undergone multiple development revisions. While initially approved for 44 duplex apartments in two towers, plans have evolved to include a luxury mall, boutique hotel, and office space spanning 1.8 million square feet.
Oberoi Realty had acquired a 50% stake in I-Ven Realty in 2013 from ICICI Venture, and the JV secured key approvals in 2016. A portion of the land had also been allocated temporarily to the Mumbai Metropolitan Region Development Authority (MMRDA) for the Worli Metro station, as per a 2017 media report.
This latest investment underscores Alpha Wave's confidence in India's luxury real estate sector, positioning I-Ven Realty for future growth.
Published by HT Digital Content Services with permission from Construction World.