New York-based fund of funds (FoF) Siguler Guff is nearing close of its second fund aimed at the BRIC (Brazil, Russia, India and China) markets. The fund, which is aiming a final close of $1 billion, has raised commitments of $914.682 million, reports peHUB. The firm had raised its first $610 million BRIC Opportunities Fund in 2006, and the fund has a primary emphasis on India and China.
Patricia M. Dinneen, a Managing Director at Siguler Guff, is managing the BRIC Opportunities Fund. Siguler Guff has also set up an India office, and has hired Praneet Singh as its managing director to head its office in Mumbai. Prior to joining Sigular, Singh was working with Piramal Healthcare, and he has also worked with McKinsey & Co and Procter & Gamble.
Siguler has also raised $2.3 billion in commitments for its distressed FoFs, which was targeting $1.5 billion, the report added.
Siguler is closing its FoFs when the fundraising markets across the world is getting tougher due to the financial meltdown. With LP’s suffering from streteched allocations and shortage of capital, a lot of private equity and VC funds are now cutting their targets and lowering expectations.
There are several global or Asia-focused FoFs who are actively looking to invest in India. HarbourVest Partners, a global private equity fund of funds, is raising its sixth fund at $3 billion and has a sub-fund for various regions. The corpus for the Asia sub-fund is $500 million.
Asia Alternatives, an Asia focused private equity FoFs, achieved the final close of its second fund at $950 million last year. Other large funds like Partners Group and Rho Funds are also looking at setting up shop in India.