Funds managed
| Fund name | Asset Class | License |
| India Alternative Investment Fund 2 | PE | SEBI AIF Cat 2 |
| India Alternative Investment Fund 1 | PE | SEBI AIF Cat 2 |
About the AMC
- Shivani Bhasin Sachdeva is the Founder and Chief Executive Officer of India Alternatives.
- The PE firm had backed four firms from its first fund – Enamor, TransUnion CIBIL, Ideacount and Seclore. It exited Enamor last year when US-based buyout firm Advent International acquired the lingerie retailer.
- The second fund had a target corpus of Rs 500 crore and had raised about Rs 250 crore, mostly from domestic institutional investors
- The second fund which was started in 2018 had already invested in two avenues one being NSDL and the other being a dermatology company Brinton Pharmaceuticals Ltd.
Key staff
- Shivani Bhasin Sachdeva, CEO & Founder– Shivani has more than 15 years of experience in PE .Prior to founding India Alternatives, Shivani was a key member of senior management at IDFC Private Equity where she was responsible for deal sourcing, execution and monitoring companies across various sectors including domestic consumption, healthcare and hospitality.
- Karan Bhagat, Investment Advisor– Karan is the Founder CEO of IIFL Wealth and has more than 15 years of experience in private wealth management. Prior to IIFL Wealth, he head the Mumbai office of Kotak Wealth Management. At IIFL Wealth, Karan is responsible for providing direction and leadership towards the achievement of the organization’s philosophy, mission, vision and its strategic goals and objectives.
- Kiran Nadkarni, Investment Advisor– Kiran has over 40 years’ experience including 20 years in early-stage venture capital. He started venture capital business of ICICI in 1986 and was the CEO of TDICI, a company incorporated for this business jointly by ICICI and UTI. Later, from 1995 to 1999, he was a partner at Draper International, a Silicon Valley venture firm that invested in companies in India and the US. In 2000, he co-founded Jumpstartup, a venture firm that invested in technology companies both in India and the US. He managed the US investment operation of the firm from 2001 to 2005.
Investment Philosophy (for firm)
To invest in mid-growth companies in their expansion phase by committing $5-10 million. It is also a space where we believe we can have an impact in terms of shaping the company’s strategy.
In the mid growth companies they have the concept of thematic investing. India Alternatives specializes in generating superior returns for its investors by leveraging certain underlying themes such as:
- women becoming more empowered as consumers;
- millennial driving a paradigm shift in consumption;
- technology reinventing financial services;
- increased focus on health and wellness.
Media
Title: IFC proposes equity investment of $10.5 million into India Alternatives’ Fund 2, Source: Business Standard, Date: 20 April 2020.
International Finance Corporation (IFC) has proposed an equity investment of up to $10 million into India Alternatives Private Equity Fund II (the Fund), which is targeting $70 million of commitments to pursue growth capital investments in small to mid-cap companies in India.
IFC as implementing entity of the Women Entrepreneurship Finance Initiative (We-Fi) will provide $0.5 million (the We-Fi co-investment).
Title: IVCA CONCLAVE 2020 with Shivani Bhasin Sachdeva, Founder & CEO, India Alternatives, Source: The Capital Net- IVCA, Date: February 2020.
https://tv.thecapitalnet.com/tv/404533495
This interview revolved around the opportunities and issues that PE fund managers faces in India. According to Shivani( CEO & Founder ) due diligence becomes fairly easy in India as people are connected in some way.
Shivani believes that one cannot invest sector wise in India as under every sector there exists few sub-sectors which are very different from each other and her company then focuses on thematic investing approach , she describes all the themes which are already mentioned in Investment philosophy part.
A lot of investors fear investing in India because of the exit opportunity but this scenario is changing gradually and exit opportunities are getting more and more attractive which will increase the inflow of capital in India.
She mentioned that they are generating more than 20 % return from their invested capital which again is a great number comparing to listed market.
She also believes that there should be more transparency in the performance presentation of the fund and more women’s should enter the PE Fund space as they are better at investing then men.
Title: India Alternatives invests in dermatology company, Source: VCcircle, Date: 13 June 2019
https://www.india-alt.com/press-pdf/Brinton-Investment-PR-June-13-2019.pdf
Private equity firm India Alternatives has picked up a significant minority stake in a dermatology-focused healthcare company for about $8 million
The PE firm has bought the stake in Brinton Pharmaceuticals Ltd, which is focused on dermatology
This is also India Alternative’s second investment from its latest fund. Last year, it had invested in National Securities Depository Ltd (NSDL), an associate of the National Stock Exchange (NSE). The PE firm is currently investing out of its second fund. The fund had a target corpus of Rs 500 crore and had raised about Rs 250 crore, mostly from domestic institutional investors, by August last year.
Title: India Alternatives, IIFL pre-IPO fund back financial services company, Source: VCcircle, Date: 15 October 2018
Private equity firm India Alternatives Investment Advisors Ltd and IIFL Asset Management Pvt. Ltd have invested in a financial services company,. The two firms have invested in National Securities Depository Ltd (NSDL), an associate of the National Stock Exchange (NSE), the people said,This is the debut investment by India Alternatives from its second fund. The firm had hit the first close of its second fund in August at Rs 250 crore. It aimed to make around eight investments in a range of Rs 25-100 crore from the second fund.
Title: Info Rights Software firm Seclore raises $12-M Series B from India Alternatives, Sistema, existing investors, Source: Venture Intelligence, Date: 27 April 2016
US- and India-based Enterprise Digital Rights Management (EDRM) software maker, Seclore Technology, has raised $12 million in Series B funding from new investor India Alternatives and Sistema Asia Fund with participation from existing investors Helion Ventures and VenturEast.
Title: India Alternatives & IIFL’s NBFC arm buy 4% of CIBIL for around $10M, Source: VCcircle, Date: 10 March 2015
https://www.india-alt.com/press-pdf/VCCircle.pdf
Private equity firm India Alternatives and its parent IIFL Holdings’ NBFC arm India Infoline Finance Ltd have together picked 4 per cent in India’s oldest credit information bureau Credit Information Bureau (India) Ltd (CIBIL)
Although the deal value remains under wraps, VCCircle learns it is around Rs 6062 crore ($10million). This values CIBIL at around Rs 1,550 crore, 3 per cent more than what Aditya Birla PE valued it when it picked 4 per cent in the company last year.India Alternatives picked 3 per cent in this deal.
Title: India Infoline will help in deal sourcing, fundraising and exit management: India Alternatives’ chief Shivani Bhasin Sachdeva, Source: VCcircle, Date: 10 April 2014
https://www.india-alt.com/press-pdf/VCCircle.pdf
IIFL Wealth Management has picked up a majority stake in mid-market private equity advisory firm India Alternatives Investment Advisors
Till 2015 , India Alternatives invested in only two funds -The first is an investment in Ideacount Education Private Limited and the second is an investment in Gokaldas Intimatewear that produces women’s innerwear under brands such as Enamor.
Analyst questions
- By my estimate you raised 250 crores for fund 2, which is not fully invested .so how much dry powder is left?
- It’s almost a decade since the fund started then Why there are so less number of deals done by the fund?
- What was difficult, raising the capital or selecting the companies to invest in?
- As mentioned in your interview that return is more than 20% , how do you look at this number compared to listed market returns? how you add value to your fund?
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