KIIFB keen on roping in more financial institutions to KIFML
THIRUVANANTHAPURAM: The Thrissur-headquartered South Indian Bank (SIB) has acquired 8.47 per cent stake (post issue) in Kerala Infrastructure Fund Management Ltd (KIFML) for Rs15 lakh, according to a filing by the bank.
KIFML, which was established last year with an authorised capital of Rs5 crore and paid up capital of Rs1 crore, is seeking more such equity participation from banks and financial institutions (FIs).
KIFML is an asset management company promoted by Kerala Infrastructure Investment Fund Board (KIIFB) to primarily act as the investment manager for the Infrastructure Fund Vehicles (IFV) being sponsored by KIIFB.
According to details available, but not confirmed, the current directors of KIFML include the names such as Kamalavardhana Rao Ganji, Sivasankar Madhavan Nair, Meleveetil Damodaran, Sanjay Kaul Moolchand and Kalluvila Veedu Ravindran Jyothilal.
KIFML will play the role of a catalyst for supporting investments in infrastructure with the objective of maximizing economic impact through investments in commercially viable projects, both greenfield and brownfield, including stalled projects.
KIIFB is inviting banks’ equity participation in the AMC as it is involved in infrastructure development of the state. “SIB being a prominent one from the state, participation shall result in adhering to promotion of socio-economic responsibility of infrastructure development of the state,” the statement added.
KIIFB had earlier stated that KIFML would be focused on raising funds through different channels and through different structures. With more financial institutions of repute being roped in as stakeholders, KIFML will be in a better position to raise funds to help KIIFB undertake more infrastructure projects for the state.
According to sources, though projects worth more than Rs45,000 crore have been announced, availability of funds is posing challenges to the forward journey of KIIFB, which is already in the eye of a storm triggered by a controversy surrounding the audit of KIIFB.