ChrysCapital Taps GIC, Other Investors to Raise $600 million
PE outfit’s 7th fund has already put money in 2 cos — L&T Infotech and Hero FinCorp
New Delhi: Homegrown private equity outfit ChrysCapital has raised a seventh fund accumulating $600 million from investors such as the Government of Singapore Investment Corporation (GIC) and Harvard Management Company, its managing director and head of fund raising, Gaurav Ahuja, told ET. The fund, which was set up in the late 1990s, was among the founding investors in publicly traded YES Bank and counts among its portfolio of past investments, blue chip companies such as Idea Cellular, Axis Bank and HCL.
The latest fund was raised in a little over a year “despite a tough fundraising environment facing Indian private equity firms”, ChrysCapital said in a note.
“This is a large fund raise by any standard and clearly indicates that investor sentiment is positive towards India,” said Ashwath Rau, senior partner at law firm AZB & Partners. Founded by Ashish Dhawan, ChrysCapital witnessed a managament transition five years ago when Dhawan decided to step down and pursue other interests. Kunal Shroff, a veteran who had been with the fund since its inception, stepped into Dhawan’s role eventually and now leads the firm. The latest fund has attracted interest from a combination of investors, referred to as limited partners (LP), in the private equity industry, that include insurance companies, university endowments and family offices, ChrysCapital said. ChrysCapital has made 80 investments in India and exited 60 of these since its inception. The fund claims to have realised over $4 billion from the sale of its investments.
“We have backed top quality entrepreneurs over the years. Our ability to invest in listed securities and private securities has provided us the flexibility to provide healthy returns across our portfolio at any given point in time,” said Sanjiv Kaul, Partner at ChrysCapital.
The fund’s portfolio of investments comprises companies where it owns minority stakes as well as those where it has purchased controlling financial interests. It has invested in sectors as varied as business services, financial services, pharmaceuticals, healthcare, consumer and manufacturing.
The newly-raised fund, ChrysCapital VII, has already made two investments, the first in mid-tier IT services firm L&T Infotech, and the second in Hero FinCorp, an NBFC floated by the Hero Group.
The core team comprises Shroff, managing partner and three other partners, including Kaul, Sanjay Kukreja and Ashley Menezes.