Anil Dhirubhai Ambani Group's (ADAG) private equity fund, Reliance Equity Advisors, has managed to raise around Rs 1,500 crore from domestic institutions in period of three months. The fund is targeting a close of Rs 2,000 crore, and has roped in investors like State Bank of India (SBI), Life Insurance Corporation (LIC), General Insurance Corporation (GIC), Bank of Baroda (BoB) and IDBI Bank, reports Business Standard. All of these investors have invested a sum of Rs 100 crore each into the fund. VCCircle has confirmed this development with a Reliance Capital spokesperson.
Other investors in the fund include Enam, JP Morgan and some private sector banks. The fund will start investing from August and plans to make two investments every quarter. Its sweetspot will be Rs 150 crore and will look at sectors like healthcare, retail, logistics, media, education and infrastructure ancillaries.
The PE fund is headed by Ramesh Venkat, who joined the ADAG group from Vedanta/Sterlite group in 2005, where he was the Group CFO.
Though the ADAG group has had a presence in the private equity space since last 5 years, this will be a its first independent fund with external investors. The group had launched Reliance Energy India Power Fund in a joint venture with Singapore state investor Temasek Holdings in 2004.
ADAG has also been making private investments in Indian companies out of Reliance Capital’s proprietary book. Some of these companies include Deccan Aviation, Prime Focus, Kinetic Engineering, DTDC Courier, Financial Technologies and Southern Wind farms.
The group also has a VC arm called Reliance Technology Ventures Pvt Ltd, headed by ex-IBM executive Harshal Shah.