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DHFL on Tuesday said it has raised Rs 1,375 crore by selling a portfolio of loans to Oaktree Capital Management, a global alternative investment management firm with $124 billion of assets under management.
The transaction is structured using RBI’s securitization norms and involves securitization of wholesale real estate project finance loans with security over a near-complete residential project in Mumbai.
DHFL is looking to reduce its real estate project finance exposure through more such transactions in the future.
Certus Capital acted as the financial advisor on the transaction.
“We recently committed to expeditiously bring down our project finance exposure,” said Kapil Wadhawan, CMD, DHFL.
“Within less than 2 months of making the above commitment, we have consummated the above transaction that reduces our project finance book by about 8 per cent.”
Around 80 per cent of the book is retail.
“This first of its kind transaction in India is representative of how we methodically apply our multi-asset class, structuring, underwriting, investing and restructuring expertise to partner with Asian financial institutions to help them meet their objectives,” said Pedro Urquidi from Oaktree.
