Ares SSG’s Shyam Maheshwari steps down
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Ares SSG Capital Partner Shyam Maheshwari has resigned and will be leaving the firm at the end of this year, the firm said in a statement on Monday.  

“After over 12 years as a founder of SSG, Shyam Maheshwari in July 2021 has decided to leave Ares SSG to dedicate more time to his family, especially his children, and pursue his interests in philanthropy and other personal interests,” an Ares SSG spokesperson said.  

“Over the years, Mr. Maheshwari has made significant contributions to our company, particularly in the India market, where he has helped us build a strong business, and importantly a deep team of senior investment professionals who are well positioned to carry on our successful Indian business,” the spokesperson added.  “We thank Mr. Maheshwari for his commitment, enthusiasm, and his contributions during his time at Ares SSG.” 

News website Moneycontrol first reported the development.  

Maheshwari’s departure comes close to two years after Ares Management first announced it was acquiring SSG Capital, the distressed assets firm that Maheshwari and two other executives had founded in 2010.  

He is also leaving the firm at a time when he has been named in a legal case involving Cox & Kings’s founder Peter Kerker.  Cox & Kings filed for bankruptcy, but founder Kerker was arrested for fraud. 

Kerkar, on his part, named Cox & Kings’ former group Chief Financial Officer Anil Khandelwal and Maheshwari as beneficiaries of the fraud.   Ares SSG, though, had denied Kerker’s allegations.  

The souring of equations between the two is recent. Earlier in 2014, Kerker and Maheshwari were cordial enough to invest in each other's companies.  Kerker came in as a limited partner (LP) in SSG Capital’s second fund in 2014, which invested in Cox & Kings  beginning that year, VCCircle reported in March.  

Ares Management also settled a legacy dispute involving SSG Capital, with Canadian firm Kyko Global earlier this year, though the parties did not disclose the payout.  

“Mr. Maheshwari has agreed to stay several months beyond his normal notice period in order to ensure smooth transition for Ares SSG. His decision to leave was a voluntary one made after much personal consideration, including a long period of many months of planning, as regarding his retirement plan,” a person with knowledge of the situation told VCCircle.  

Ares SSG Managing Partner Edwin Wong, who was appointed chief executive officer after the Ares Management acquisition of SSG Capital last year, will continue to lead the firm, the person cited above said.  Wong, Maheshwari and Andreas Vourloumis were colleagues at Lehman Brothers and cofounded SSG Capital in 2010.  

In India, the distressed asset’s investor owns stakes in non-bank lenders Tourism Finance and Shapoorji Pallonji Finance as well as Assets Care & Reconstruction Enterprise Ltd (ACRE). It completed the acquisition of Altico Capital India in March 2021 and in May, committed Rs 1,200 crore (about $165 million) to the alternative investment fund (AIF) set up by IIFL.

Also read: How debt and distress dominate Ares SSG playbook

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