Domestic private equity fund house, IndiaCo Ventures Ltd. has announced first close of its India Growth Opportunities Fund and final close of India Amalgamation Fund on Wednesday.
Rahul Patwardhan, vice chairman and managing director of IndiaCo Ventures told VCCircle, the India Amalgamation Fund has been fully capitalised with Rs 28 crore and the India Growth Opportunities Fund which has a target size of Rs 40 crore has seen its first close at Rs 15 crore.
“We expect to have the final close of the Growth Opportunities Fund in another 4-5 months,” Patwardhan said.
IndiaCo is one of the two public listed private equity firms in the country (the other being IL&FS Investment Managers). So far, the company has been investing through its balance sheet and has now decided to carve out the investments into two separate small funds.
As on date the company has a total investment portfolio of Rs 60 crore with investments in more than half a dozen companies. With the capitalisation of the two funds, the balance sheet size will reduce drastically, Patwardhan said.
India Amalgamation Fund and India Growth Opportunities Fund will chase investments in manufacturing and domestic consumption space in India. The investments that the company made between 2007-09 will be housed under India Amalgamation Fund and the investments made thereafter have been brought under the India Growth Opportunities Fund.
The company also said it has got soft commitment from Asian Development Bank, United Nations Environment Programme (UNEP) and the European Investment Bank (EIB) for its $60 million IndiaCo Energy Efficiency Fund. It is planning to close the fund raising process by end of March 2013.
Last July, Canadian asset management group Core Partners Inc had said it is investing $6.4 million to pick a significant minority stake in one of the investment arms of IndiaCo Ventures Ltd.