Bangalore-based Nitesh Estates has divested 25% stake to Och-Ziff, US-based hedge fund major, for $51 million.

This follows banking giant Citigroup’s investment of $30 million in December last, towards a $100 million special purpose vehicle that Nitesh is floating for its hospitality foray.

Nitesh Shetty, managing director, Nitesh Estates, said, “The Och-Ziff deal values our company at over Rs 1,000 crore.”

Started in 1994 by ex-Goldman Sachs executive Daniel Och and Ziff Brothers, the New York-based Och-Ziff Capital Management Group is one of the top five global hedge funds with $21 billion in assets. The stake in Nitesh Estates is the hedge fund’s first investment in India.

Primarily into high-end real estate developments in residential, commercial, retail and hospitality space, Nitesh Estates recently announced its plans to foray into the Indian hospitality segment.

The first of these ventures, involving an investment of Rs 450 crore, would be the launch of the Ritz Carlton brand in Bangalore.