PEs to pump in $50 m in Karle’s Bangalore SEZ
Three private equity funds, including JP Morgan and Actis, are in the picture to pump $50 million (Rs 200 crore) into Bangalore-based Karle Group’s upcoming mid-sized Special economic zone project.
By Boby Kurian & Arun Iyer, TNN |
BANGALORE: Three private equity funds, including JP Morgan and Actis, are in the picture to pump $50 million (Rs 200 crore) into Bangalore-based Karle Group’s upcoming mid-sized Special economic zone project. The Rs 750-crore SEZ, which has all the regulatory approvals in the place, is shaping up on a 28 acre land on the outskirts of Bangalore at Nagawara.
Sources said the privately held Karle has held talks with private equity arms of JP Morgan and Actis, and was currently discussing valuation details with three funds including the two above mentioned names. It is believed that Karle Group is directly handling the ongoing discussions with the PEs.
When contacted, a Karle official said: “Since the SEZ is in the formative stage, we cannot share details at this point in time.” However, he said the group was eyeing equity placement in the SEZ project but would not identify any funds that may have evinced interest .
The project is being executed by a group company Karle Infra Projects and is estimated to employ 20,000 people once fully operational as per details unveiled in 2006. But the exact size of the project under development could not be ascertained.
Karle is one of the prominent traditional business houses in Bangalore, with an established presence in the garment exports sector. In recent weeks, it decided to unlock real estate value with the proposed SEZ project.
Sources said the privately held Karle has held talks with private equity arms of JP Morgan and Actis, and was currently discussing valuation details with three funds including the two above mentioned names. It is believed that Karle Group is directly handling the ongoing discussions with the PEs.
When contacted, a Karle official said: “Since the SEZ is in the formative stage, we cannot share details at this point in time.” However, he said the group was eyeing equity placement in the SEZ project but would not identify any funds that may have evinced interest .
The project is being executed by a group company Karle Infra Projects and is estimated to employ 20,000 people once fully operational as per details unveiled in 2006. But the exact size of the project under development could not be ascertained.
Karle is one of the prominent traditional business houses in Bangalore, with an established presence in the garment exports sector. In recent weeks, it decided to unlock real estate value with the proposed SEZ project.
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