IIFL arm to raise $500 million for maiden offshore affordable housing fund

Leading finance major IIFL Asset Management is set to raise $500 million in the coming financial year for its first offshore affordable housing fund. The company is optimistic of closing its domestic funds by the end of the current financial year. As reported, the fund has received commitments worth $25 million from Fairfax Group of Canada, which owns around 35 per cent of IIFL Holdings, the parent company. The company is reportedly planning to raise another $400-500 million fund after the closing of the fund from the domestic fund. The second fund will be raised using the funds from the offshore investors and will be focused on the affordable housing segment. Currently, as per reports, a month after the launching of the domestic fund, IIFL has managed to gather a sum of over Rs 1,000 crore from the investors. The company is hoping to go strong in the affordable category. According to reports, the company will lower the ticket size and look at investment opportunities in the Rs 20-25 lakh segment. The firm will also look for opportunities in Tier-II cities like Lucknow and Jaipur, apart from the metros.