ASK Arm Makes 3 Exits with Big Returns
Mumbai: ASK Property Investment Advisors, the real-estate private equity arm of financial services firm ASK Group, has made three exits from its project investments totalling ₹ 440 crore.
These are one of the few exits that have taken place since demonetisation. The exits have been made from residential projects of Puranik Group, ATS Infrastructures and Shriram Properties with project level internal rate of returns ranging from 19% to 27%. Of the three exits, two were equity investments made by the fund directly in ATS Infrastructures and Shriram Properties, while a structured debt fund raising was done through investors for Puranik Builders. “ASK funds have demonstrated exit track record of over ₹ 1,850 crore through its seven full and nine part exits, clocking returns in the range of 21%27% IRR and this performance has been highly appreciated by investors,” said Sunil Rohokale, MD & CEO, ASK Group. ASK had managed a structured debt fund raising for Puranik Builders’ Thane project Rumah Bali in March 2016 and has now received an exit worth ₹ 168 crore. The exit has garnered returns of 19%. ASK had in the past four years raised over Rs 575 crore through non-convertible debenture (NCD) route and with this exit, its NCD portfolio stands fully exited at over ₹ 713 crore.
“The era of consolidation has clearly established the increased importance of partner selection, location, margin of safety and risk management. All of these exits have been achieved from middle income residential projects, which have been launched and have attained targeted construction and sales benchmark. We have repeatedly proved our disciplined framework and sustainability of superior risk adjusted returns,” said Amit Bhagat, MD & CEO, ASK Property Investment Advisors.
Out of its equity investments, ASK has exited from ATS Infrastructures’ Noida project ATS Le Grandiose located on Noida Greater Noida Expressway at Sector 150 for ₹ 121 crore.