IDFC Alternatives Ltd has raised $644 million (about Rs 4,000 crore) for its second India-focused core infrastructure fund.
This includes $64 million from IDFC and $580 million from offshore limited partners (investors in the fund), it said in a statement.
The fund — India Infrastructure Fund II (IIF2) — will close and make investments once the domestic regulatory approvals are obtained. Investors in IIF2 comprise global institutional investors from North America, Europe and the UK.
IDFC had started the fund-raising in January 2013 with a total target of $1 billion, and it hopes to achieve the target shortly.
In addition to the fund commitments, the investors have set aside additional capital towards co-investment opportunities.
“There is substantial re-up commitments from IIF1 investors who have reaffirmed their faith in IDFC as an infrastructure fund manager and in India’s potential as an attractive investment opportunity in the Infrastructure space,” M.K. Sinha, Managing Partner & CEO, IDFC Alternatives, said.
IDFC had closed its debut infrastructure fund (IIF1) in June 2009, raking in about $927 million from Indian and international institutional investors. As of June 30, IIF1 had invested 84 per cent of its total capital across 15 portfolio companies.