Altico Masala (IFC-40927)

Countries
  • India
Where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Bank Risk Rating
FI
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Apr 20, 2018
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
Altico Capital India Private Limited
The holder of the loan, grant, or other investment.
Sectors
  • Finance
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Loan Amount (USD)
$ 50.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Investment Amount (USD)
Not Disclosed
When disclosed, the bank did not provide this value. Please review updated project documents for more information.
Primary Source

Original disclosure @ IFC website

Updated in EWS Sep 9, 2019

Disclosed by Bank Feb 20, 2018


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Project Description

The proposed project involves providing senior secured debt up to US$50 million to Altico Capital India Limited (“Altico” or the “Company). The proceeds of the funding will be used to finance affordable housing projects as per the Pradhan Mantri Awas Yojna.

Altico is a non-deposit accepting non-bank financing company(NBFC). Altico primarily focuses on senior secured lending to affordable/mid-income and other residential projects and Commercial Real Estate in India. It currently operates in 7 major locations in the country As of December’17 the Company’s total asset size is ~US$705 mn

People Affected By This Project

Support to the affordable housing market: India has a significantly large gap in the affordable housing market. While the demand is huge (estimated at about 11 million units in urban areas), the supply of stock is exceedingly low. The problem could severely hamper the realization of the GOI's goal of "Housing for All" by 2022. The project will increase access to affordable housing. It will help in filling the gap of affordable housing units by financing affordable housing developers and helping in increasing the supply of affordable housing units. The Project is expected to generate 1200 units.

Job Creation: Real Estate and construction is one of the largest job creators in India. India is estimated to need around 76.5 million workers in the building, construction and real estate sector by 2022, with affordable housing itself expected to need 38 million work force by 2030 from 29 million at present. In addition, there are at least 250 ancillary industries that shall further expand job creation. This project by providing direct stimulus to affordable housing construction, is expected to generate very positive impacts on employment and growth.

Investment Description
  • International Finance Corporation (IFC)
Private Actors

Altico is a systemically important non-deposit accepting non-bank financing company (NBFC). Altico primarily focuses on senior secured lending to affordable/mid-income and other residential projects and Commercial Real Estate in India. It currently operates in 7 major locations in the country As of December’17 the Company’s total asset size is ~US$705 mn. 

Contact Information

Mr. Dhruv Jain 
Chief Financial Officer, Altico Capital India Limited 
Telephone No.: +91-22-67154000 
Email Address: info@alticocap.com 
Office Address: 21, 2nd Floor, 5 North Avenue, Maker Maxity, Bandra Kurla Complex,Mumbai - 400 051 
Website: alticocap.com 

ACCOUNTABILITY MECHANISM OF IFC

The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org. You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org/