A distressed asset focused fund promoted by a Kotak Mahindra Bank arm has invested Rs 10 billion in Sify Technologies’ data centre business.
The investment in Sify Infinit Spaces will help the company invest up to Rs 40 billion in building data centres in Mumbai, Noida, Chennai, Bangalore and Hyderabad, as well as invest in renewable energy assets.
As part of this deal, Kotak Special Situations Fund (KSSF), managed by Kotak Investment Advisors, has signed an agreement under which an investment will be done in compulsorily convertible debentures which will then convert into equity based on the operational performance of SIS over a specified reference period.
