KSSF funding will help DCW to refinance its existing term loans, improve its working capital, enhance its capacity utilization to meet the growing demand.
Kotak Special Situations Fund, managed by Kotak Investment Advisors, on Wednesday said it has acquired Prius Commercial Projects under the insolvency and bankruptcy code for Rs 450 crore.
In an all-cash deal, Kotak Special Situations Fund (KSSF) led consortium emerged as the successful resolution applicant, with the NCLT, Delhi duly approving its resolution plan, the fund said in a statement.
Following the acquisition of Prius, KSSF has now closed its first investment under the IBC platform.
KSSF has been investing from its USD 1 billion fund in a variety of structured investment situations.
Prius is engaged in leasing out commercial space and predominantly owns the building named ‘Prius Platinum’ at a premium location in Saket, Delhi, with a leasable area of 2,59,000 sq ft.
“This investment is in line with our funds objective of acquiring value assets on the IBC platform. Our constant endeavour is to enhance the quality and performance of the asset under our supervision and superior asset management capabilities,” Eshwar Karra, CEO of Kotak Special Situations Fund at Kotak Investment Advisors said.
The controlling stake held by KSSF provides it a platform to build a portfolio of office assets along the lines of Prius, leveraging on the group’s extensive expertise in real estate as well as resolution of stressed assets.
This investment targets refurbishment and leasing of Prius’ office space, where KSSF’s extensive real estate portfolio management experience will support a professional management team, the fund said.
“This is an example of how Kotak can get its cross functional expertise in real estate and stressed asset management to address the unique opportunities in the stressed assets market. We will rely upon these skills to address opportunities in other asset classes as well,” said Srini Srinivasan, Managing Director, Kotak Investment Advisors.