Pantomath Financial Services Group said Tuesday it has made the final close of its maiden close-ended series of India Inflection Opportunity Fund (IIOF) at Rs 500 crore (around $60 million).
IIOF, a Category II alternative investment fund launched in April last year, intends to invest primarily at the pre-IPO stage in Indian growth-stage companies. The fund secured investments from global and Indian family offices, high-net-worth individuals and others.
Pantomath said that the fund closure comes at a time when India's economic resilience and its attractiveness as an investment hub are prompting more companies to float IPOs, with a strong pipeline of over $9 billion expected in the second half of 2024.
“India Inflection Opportunity Fund is focused on under-researched family-owned businesses which are on a rapid-growth trajectory. We would like to focus on huge addressable market opportunities avoiding ventures with negative cash flows and bleeding balance sheets,” said Madhu Lunawat, chief investment officer, India Inflection Opportunity Fund.
Lunawat is a chartered accountant and has over two decades of experience spanning investment management, corporate finance, asset reconstruction, M&A, due diligence and treasury operations.
“Our fund follows an active management approach wherein we provide growth capital as well as strategic support to promising businesses that are significantly making a difference to society and the environment,” Lunawat said.
The fund aims to invest in opportunities in three broad themes: make in India, rural consumption and impact investing. Its investment strategy involves periodic payouts to investors, besides targeting healthy terminal returns. Deloitte is the statutory auditor of the fund.
With this fundraise, the group now has approximately Rs 2,500 crore of total corpus under supervision. Besides the AIF, the group provides portfolio management services, global advisory and basket investing. It claims that all the investment products clock the highest level of returns consistently.
Pantomath Financial Services Group was founded by Madhu Lunawat and Mahavir Lunawat. The group expanded into wealth management, fintech, stock broking, and distribution by acquiring a significant stake in Asit C Mehta Financial Services Limited, a 40-year-old firm created by Deena Mehta and Asit C Mehta. It also acquired a 75% stake in AI-driven deal platform fundgini.com in July.