Nisus Finance's Real Estate Special Opportunities Fund – 1 (RESO-I) has successfully exited its investment in a wholly-owned subsidiary of Shapoorji Pallonji Real Estate (SPRE), marking the fund's maiden exit with an impressive Internal Rate of Return (IRR) of 18.74%. In January 2024, RESO-I invested Rs 105 crore into senior secured rated listed non-convertible debentures (NCDs) issued by Suvita Real Estate, a subsidiary of SPRE. These NCDs were listed on the wholesale debt segment of the Bombay Stock Exchange.
The entire amount of NCDs was redeemed by the developer through internal accruals and capitalization by SPRE. The exit highlights Nisus Finance's investment process's strength and partnership with strong counterparties like SPRE. Amit Goenka, CMD of Nisus Finance, expressed confidence in the partnership, saying, "This investment and its timely exit are a testimony to the rigour of our investment process to back strong counterparties like SPRE through smart structured capital."
The investment was made in a 12.16-acre land parcel in Pune’s Manjri Budruk, intended to accelerate SPRE’s assets in the mid-income affordable housing sector. The land has the potential for a mixed-use township development, spanning 2.1 million sq ft. This exit marks the first success for RESO-I, a fund managed by Nisus BCD Advisors LLP, which focuses on highly value-accretive opportunities in real estate projects.
The RESO-I Fund of Nisus Finance targets highly profitable and de-risked projects across seven major metros, providing higher yields and asset cover through structured capital, aimed at unlocking value in special situations with short to medium investment tenures.