Sequoia aims at $1 bn fund; ArcelorMittal out of race for PE-backed Bhushan Power

Venture capital and growth stage investment firm Sequoia Capital is looking to raise $1 billion for its sixth India-focused fund, The Economic Times reported citing four people aware of the development.

The corpus for the new fund will be used for investments in multiple vehicles, where venture capital will focus on technology companies and growth-stage capital will go towards consumer and non-tech firms, the people mentioned above told ET.

Sequoia Capital India will use a part of its new fund to make investments in Southeast Asia which will be led by managing director Shailendra Singh, the report added.

The venture capital firm closed its fifth India-focused fund worth $930 million in early 2016. In June last year, the VC firm topped up its fourth India-focused fund for the second time by another $125 million. The funds were used for follow-on investments in its existing portfolio companies that received funds from the fourth fund.

Among venture capital firms, Sequoia Capital India was the most active firm in 2017. It sealed 30 deals which included 12 new portfolio firms, according to VCCEdge, the data and research platform of News Corp VCCircle.

ArcelorMittal withdraws bid for Bhushan Power and Steel

Steel major ArcelorMittal has pulled out its bid for the bankrupt Bhushan Power and Steel Ltd after conducting due diligence, a report in The Economic Times stated citing people aware of the development.

It is not clear why ArcelorMittal withdrew its bid, the report added.

Bhushan Power and Steel Ltd is undergoing a corporate insolvency resolution process initiated by the National Company Law Tribunal.

ArcelorMittal is also reportedly bidding for debt-laden steel producers Essar Steel and Bhushan Steel, ET reported.

Tata Steel, JSW Group, Vedanta, AION Capital Partners and a Dubai-based billionaire are the remaining contenders who are bidding for the debt-laden steel producer. The deadline for all parties to submit their bids is January 29, the report said.

Reliance AIF to set up two equity-focused funds

Reliance AIF Asset Management Company Ltd, part of Reliance Nippon Life Asset Management Ltd, is looking to raise Rs 1,000 crore for two of its new equity-focused alternate investment funds, Mint reported citing a company official.

One fund will invest in the financial services sector and the other in opportunities generated by the working-age millennial population, the report added.

“We achieved strong closing in ‘Scheme 1’ and based on the strong response we have received to our first scheme, we have launched the two new offerings,” Shahzad Madon, head of portfolio management services and alternative assets at Reliance Nippon Life Asset Management Ltd, told Mint.

Reliance AIF has products under the high yielding space, sector agnostic credit space and equity space, according to its website.

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