IVFA reaches $700m final close on India fund
India Value Fund Advisors (IVFA) has reached a final close on its fifth India-focused fund at the hard cap of $700 million.
The fund, which launched in November 2014, had a first close of $500 million in April. About 25 LPs, many returning from previous funds, have invested in the vehicle, called the Indium V fund. Srikrishna Dwaram, a partner at IVFA, said new LPs include Canada Pension Plan Investment Board (CPPIB) and Australia's Future Fund, which recently increased its PE allocation to 9.5%.
IVFA has already made three investments out of the fund, committing INR2.2 billion ($34 million) to non-banking finance company Magma Fincorp in March and $30 million to restaurant chain operator DeGustibus Hospitality in July. The firm also rolled over most of its stake in broadband service provider Atria Convergence Technologies from its third fund to the latest one.
"We do not have a sector-focused approach, but a few sectors where we expect a higher concentration of exposure would be financial services, healthcare, food and ITES [IT enabled services]," Dwaram said.
IVFA is one of several India GPs in the market. Everstone Capital's third fund, Everstone Capital Partners III, launched in October 2014 with a target of $650 million and is expected to close at the hard cap of $700 million. Multiples Alternative Asset Management is likewise aiming at a target of $650 million for its second fund, having reported a $325 million first close earlier this year.
Recent activity suggests LP sentiment on India is improving following a difficult few years. According to AVCJ Research, between 2010 and 2012, 37 country-focused funds received commitments of more than $4.9 billion, including incremental and final closes. Between July 2012 to July 2015, there were only 20 closings, with total proceeds reaching $2.9 billion.
However, with five months of 2015, the fundraising figure of $2.8 billion is on par with the full-year total for 2014.
More on South Asia
Latest News
Asian GPs slow implementation of ESG policies - survey
Asia-based private equity firms are assigning more dedicated resources to environment, social, and governance (ESG) programmes, but policy changes have slowed in the past 12 months, in part due to concerns raised internally and by LPs, according to a...
Singapore fintech start-up LXA gets $10m seed round
New Enterprise Associates (NEA) has led a USD 10m seed round for Singapore’s LXA, a financial technology start-up launched by a former Asia senior executive at The Blackstone Group.
India's InCred announces $60m round, claims unicorn status
Indian non-bank lender InCred Financial Services said it has received INR 5bn (USD 60m) at a valuation of at least USD 1bn from unnamed investors including “a global private equity fund.”
Insight leads $50m round for Australia's Roller
Insight Partners has led a USD 50m round for Australia’s Roller, a venue management software provider specializing in family fun parks.