Israeli co to invest $700 mn in Indian realty

Eager to cash in on the Indian real estate boom, Israeli firm Clal Insurance Enterprises Holdings and others are raising a $700 million fund for investments in India, a media report said.

Other notable investors in the international real estate fund include Merrill Lynch, Apollo Advisors LP, and an unnamed Indian investment company, business daily Globes reported.

The international fund plans to invest $3 billion over the coming years in the Indian "income producing property", it said.

Clal Insurance, which has invested $15 million in the fund, has been seeking international investments for its reserves given the lack of worthwhile investments in Israel, the report said.

It recently invested $20 million in AIG Inc's $500 million real estate fund, which mostly invests in seafront residential properties.