IDFC closes second India infrastructure fund at $900m

According to AVCJ Research, it is the fourth-largest India infrastructure fund ever raised, trailing the 3i India Infrastructure Fund, the Macquarie SBI Infrastructure Fund and its predecessor, IDFC's India Infrastructure Fund (IIF1). These vehicles were all launched between 2007 and 2009.

Third-party investors, including institutional players from North America, Europe and the Middle East, account for $810 million of the IIF2 corpus. The remaining $90 million of IIF2 has been committed by parent company IDFC. The fund launched in early 2013, with a first close of $644 million coming in September of that year. The IDFC contribution to the first close was $64 million.

LPs in the fund include CDC Group, the UK government's development finance arm, which has put in $200 million. The group committed $100 million to IDFC's first India infrastructure vehicle (IIF1) in 2008. That fund closed at $927 million in June 2009 and is now fully deployed across a diversified portfolio of assets.

"We are very pleased with the high quality and marquee investors that IIF II has attracted and are proud of the speed with which IIF II has been subscribed to, especially given the difficult economic and financial conditions that prevailed during the majority of our fund-raising period," M.K. Sinha, managing partner and CEO of IDFC Alternatives, said in a statement.

IIF2 will following a similar strategy to its predecessor, targeting core infrastructure assets, including under construction and operational assets, and work with proven partners. The primary sectors of interest are roads, ports, airports and power.

Founded in 2002, IDFC Alternatives has $3.4 billion in assets under management. The firm manages seven dedicated India funds across private equity, infrastructure and real estate, with a team of 34 investment professionals.

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• Topics
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• Infrastructure
• Infrastructure
• South Asia
• Infrastructure
• Fundraising
• IDFC Private Equity