Mahagun Group, a Noida-based realty-firm, has raised Rs 325 crore as a loan from Piramal Finance – a subsidiary of Piramal Group.
The fund transacted as a sanctioned debt will be used to refinance existing debt and speed up two of under construction projects in Noida and Greater Noida which are Mahagun Manorial and Mantra respectively. Both the projects are in under-construction stage and combinedly being developed over 300,000 sq. ft.
Property consultancy Cushman and Wakefield had acted as an advisor during the transaction.
“Our investment is intended to achieve financial closure to aid the completion of construction across both projects. We are pleased to have partnered with Mahagun, which has a track record of delivering over 10 million sq. ft across the Noida and Greater Noida region,” says Khushru Jijina, Managing Director, Piramal Finance.
Reportedly in the last few year, Noida and Greater Noida have shown better sales in real estate which attracts multiple investors to flow capitals into this market. Piramal Finance is also one of the companies to invest in NCR-based developers. In the beginning of this year, the company has given a loan of Rs 425 crore to Noida-based Prateek Group to repay existing loans to Xander Finance Pvt. Ltd and a couple of banks and complete construction of its township project near Ghaziabad.