JM Financial a private equity company signed deal to own prominent number of minority stake in Isthara Parks a Coimbatore-based co-living firm. Nimesh Kampani, a well-known banker established JM Financial with the aim to mark its presence in the unorganized market of room-sharing and accommodation market, the sources said.
Both, the JM Financial India Fund II and Isthara plans to use funds for exploring markets across India.
The sources said that the deal is signed and JM Financial will hold maximum control and representation in the firm. Also, the company plans addition of 10,000 beds in the next one year and will work on the idea to acquire long-term lease of properties to provide fully-furnished co-living spaces, the sources added.
Isthara, founded by serial entrepreneur Gilbert James Laurduraj offers co-living spaces to professionals and students along with amenities like daily meals, WiFi, gymnasium, laundry and housekeeping. Presently, the company approximately has 3,000 beds in 29 properties at Hyderabad, Bengaluru and National Capital Region [NCR].
Gilbert James also co-founded NACE Schools, a chain of international schools but sold the same in 2016-17 to Providence Private Equity.
On the other hand, the JM Financial is raising 1,000 crores for its second private equity fund and a few years back appointed Darius Pandole, a former partner of New Silk Route head for their private equity business.