Piramal Fund invests ₹2,320 cr in Lodha Group's projects.

Piramal Fund Management (PFM), a real estate-focussed fund and funding platform, has invested ₹2,320 crore across several projects of the Lodha Group, in Mumbai.

This is the single-largest debt transaction to take place in the real estate funding space. It is also the second investment by PFM in the Lodha Group. It had previously invested ₹425 crore in Lodha Venezia, a project in Mumbai that is at an advanced stage.

PFM has committed ₹2,320 crore across multiple projects to replace various existing debts of the developer.

This funding will enable Lodha to complete and deliver marquee projects in South and Central Mumbai.

The projects are at advanced stages of construction and completion, with established sales and locked-in receivables. The deal has been structured as a fixed-return debt investment with periodic coupon payments and has an appropriate security mechanism in place, including hard-asset cover and an escrow of receivables.

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