Alteria Capital announces final close of its third fund

India’s largest venture debt platform Alteria Capital has announced the final close of its third venture debt fund. The venture debt scheme of Alteria Fund III has been significantly oversubscribed with a final close at ₹1,550 crore.

Alteria Capital has adopted a twin scheme strategy as part of its third fund which includes a venture debt scheme and a shorter duration scheme to cater to multivariate capital needs of Indian founders. The third fund is expected to raise $250300 million in aggregate, across both schemes, where the venture debt scheme has been closed at $195 million. The shorter duration scheme has been opened for subscription with a final close expected by end of 2024.

With an AUM of ₹4,350 crore across three funds, Alteria manages the largest pool of capital for venture debt for Indian startups currently.

Alteria Capital Fund’s third venture debt scheme had a target size of ₹1,000 crore with a green shoe option which has been significantly oversubscribed with more than half the fund contributed by existing investors.

TOTAL COMMITMENTS

This scheme will continue to back startups that have already raised VC funding and provide them with a range of specialty debt solutions up to ₹200 crore per company. Alteria has raised almost all its capital from domestic investors. The fund has already deployed 50 per cent of the total capital commitments demonstrating the heightened demand for structured debt in India currently.