TVS Capital raises nearly ₹2,000 cr for third PE fund

Industry:    2021-01-08

TVS Capital Funds, the private equity fund manager backed by the TVS and Shriram groups, has raised nearly 2,000 crore for the final close of its third private equity fund, TVS Shriram Growth Fund 3, a senior executive told Mint.

“The fund has successfully closed its extended fundraise with an overall assets under management (AUM) of 1,550 crore in the blind pool. With a potential co-investment pool of approximately 450 crore, the total AUM for the fund would stand at 2,000 crore. This makes TVS Capital Funds the largest rupee-only capital fund, only through domestic sources, empowering next-gen entrepreneurs in India,” Gopal Srinivasan, managing director and chairman, TVS Capital Funds, said.

“It has always been our aim to raise domestic capital and during covid-19 family offices and HNIs were particularly looking at capital allocation avenues such as private equity, where you have the long-time horizons to invest across economic cycles,” Srinivasan said.

About 45% of the capital commitment has come from 34 leading family offices in the country with individual contributions of more than 10 crore, Srinivasan said.

Institutions that have committed capital to the fund include Sidbi, Nabard, and a few leading insurance companies. These have collectively contributed 22% of the fund’s corpus, while another 26% has been raised from ultra HNIs and the rest from sponsors TVS and Shriram groups.

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