Even though the capital market is in turmoil, a Dubai based private equity fund has invested in an Indian institutional broking and investment banking firm. Mumbai-based Avendus Capital Pvt Ltd (earlier known as Avendus Advisors) has raised Rs 100 crore or $23.5 million from Eastgate Capital Group. The funding is “to strengthen the institutional broking franchise” and also to bankroll its international expansion with a special focus on USA and Europe, a release said. Currently, Avendus Capital has its offices in Mumbai, Bangalore and New York.

Eastgate Capital Group (ECG) is the private equity subsidiary of NCB Capital, the investment banking arm of the National Commercial Bank of Saudi Arabia (NCB). ECG has $800 million of commitments under management across three funds. The current investment in Avendus Capital is from the Eastgate

Global Emerging Markets Fund. King & Spalding, a leading international law firm, advised Eastgate Capital Group in the deal.

Nasr-Eddine Benaissa, Co-Managing Partner, Eastgate Capital, said, “We believe India is one of the most attractive markets in the world and is well positioned to be a driving force in the global economy. Indian financial services, and in particular investment banking and capital markets related businesses, will naturally benefit from this momentum.”

Ranu Vohra, Managing Director & CEO, Avendus Capital Pvt. Limited, said: “As Avendus builds its capabilities in capital markets and institutional broking we believe that the team at Eastgate will help us in building our global network of relationships particularly in the Middle East, which is increasingly becoming the source of capital for fast growing Indian corporates.” Rajiv Nakani, Director, Eastgate Capital Group will join the board of Avendus Capital.

Avendus was set up in 1999. The firm has ever since closed more than 110 transactions worth $2.5 billion, the company said. The previous investors in Avendus include Infinity Venture, an Indian VC fund, Americorp, an institutional investor from Spain, and Anil Godhwani, an entrepreneur-investor from California, US.

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