IDFC Private Equity will invest Rs 150 crore in Jaipur-based Staragri Warehousing and Collateral Management. Both the companies did not divulge detail on the quantum of equity stake transacted. Staragri proposes to utilise the fund to expand its warehousing capacity to 30 lakh tonnes in three years from the current 10 lakh tonnes.
Mr Amith Agarwal, Director, Staragri, said the company will target to set up warehouses at taluk level in Tamil Nadu, Karnataka, Andhra Pradesh, Orissa and Chhattisgarh. Work on to add two lakh tonnes of capacity is in advanced stage and will be completed in six months, he added.
Founded in 2006, Staragri provides warehousing services including storage, lab testing, collateral management and procurement services. It has presence in 10 States with about 750 agriculture commodity warehouses of 10 lakh tonnes capacity. The company intends to generate a fee-based income of Rs 500-600 crore post-expansion.
Staragri has arranged agriculture loans worth Rs 10,000 crore and handles a warehouse lending receipt portfolio of Rs 1,800 crore for eight banks.
PE investments
IDFC Private Equity manages Rs 5,700 crore across three funds. Over the last eight years, IDFC PE has made 33 investments. Some of the investments made by IDFC PE include GMR Infrastructure, Gujarat State Petronet, Delhi International Airport, L&T Infrastructure Projects, Gujarat Pipavav Port, Manipal Global Education, Ashoka Buildcon, Moser Baer Solar, Suzlon, GMR Energy, Viom Networks and Deepak Cables.
Mr Girish Nadkarni, Partner, IDFC Private Equity, said the present investment was part of $644-million (about Rs 3,200 crore) raised in 2008.
“We have already deployed about 64 per cent of the IDFC PE Fund III and will look into opportunities in cable TV and satellite business, ancillary sectors in aviation, broadband and telecom enablers for further investments,” he added.