MOPE raises $155 million for the second fund

15 September, 2013 Mumbai, India

India Business Excellence Fund-II (“IBEF-II”), growth capital funds managed and/or advised by Motilal Oswal Private Equity Advisors Private Limited (“MOPE”) has announced final closing at US$155 mn (1 US$=Rs 65; Rs 10 bn). This closing is at its hard cap range in rupee terms and the money has been raised from a combination of international investors (US$105 mn) and domestic investors (US$50 mn).  A significant portion of the capital has been raised from institutional investors including several marquee international institutional investors.

It has been heartening for MOPE to receive such support from the investors in a challenging time to raise capital for India focused PE funds. It conveys its sincere thanks to its investors for their faith and belief in its abilities and investing in IBEF-II.

IBEF-II is the second growth capital fund managed and/or advised by MOPE. India Business excellence Fund-I (“IBEF-I”), the first growth capital fund has already returned 40% capital back to its investors and continues to have good traction on exiting its portfolio companies. MOPE was promoted by Motilal Oswal Financial Services Limited to build an alternative asset management business. In addition to the growth capital funds it also manages a Rs 2 bn real estate fund.

IBEF-II would invest in 12-15 mid market companies, primarily unlisted, with preferred themes of domestic consumption, financial services, healthcare and niche manufacturing and infra services.

Vishal Tulsyan, CEO of MOPE said “We reiterate our strong commitment to find highly appealing investment opportunities across India and deliver superior returns to our investors. We will continue to remain highly disciplined and rigorous in investment evaluation. Strong commitment by investors in such market conditions has reinforced belief in our abilities and has further invigorated the team to give its best.”

About Motilal Oswal Private Equity Business

MOPE is a subsidiary of Motilal Oswal Financial Services Ltd. (MOFSL), a diversified financial services group with businesses in Securities, Asset Management, Private Equity and Investment Banking. MOPE launched its maiden fund the IBEF-I, a US$ 110 mn (Rs. 5.6 bn) sector agnostic India focused private equity fund, in 2006. IBEF-I has an investment focus of providing growth capital to mid market companies, typically in the range of US$ 5-15 million, across sectors. IBEF has invested in 13 companies across sectors such as food processing, bulk packaging, power transformers, power infra enablers, EPC, engineering goods, ITES, financial services, EMS, auto components, etc. MOPE raised IREF-I in 2008, a Rs. 2 bn domestic real estate fund focused on investing in real estate projects in metros and tier-1 cities in India.

Source:  Motilal Oswal Private Equity

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