Avendus Group arm plans Rs 1,000 cr debt fund for investment in Indian firms

Financial services group Avendus on Wednesday said its asset management arm has launched a debt fund with a target corpus of Rs 1,000 crore for investment in Indian entities over a period of two years.

Avendus PE Investment Advisors, an asset management arm of Avendus Group, has launched Avendus Structured Credit Fund II (ASCF?II) which is targeting a total corpus of Rs 1,000 crore including the green shoe option of Rs 500 crore, the firm said in a statement.

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"The fund will be operational from December for investment post initial close. The Fund plans to invest across 10-12 deals over the next 18-24 months," Nilesh Dhedhi, Fund Manager, Avendus Structured Credit Fund said.

ASCF?II is a sector agnostic fund focused on the performing credit space, providing structured credit solutions to high quality, growth-oriented companies with differentiated business models, backed by marquee sponsors.

"The fund plans to invest in secured transactions of operating companies as well as holding companies," the statement said.

The Avendus Structured Credit Platform has a track record of over 10 years, including an investment track record of over five years through an NBFC (Avendus Finance) and the first AIF Category II fund, Avendus Structured Credit Fund I.

Dhedhi said a growing economy and the emergence of new and rapidly changing business models have necessitated capital needs that are spread across the spectrum of debt and equity for the Indian corporate sector.

"Through the new fund, we continue to increase our footprint in the credit investment space and strengthen our investment strategy to provide structured credit solutions to larger businesses while generating superior risk adjusted returns for our investors," he said.