Funds managed
| Fund name | Asset class – category | License |
| India Nivesh Growth & Special Situations Fund | PE | SEBI AIF Cat 2 |
| India Nivesh Renaissance Fund | PE | SEBI AIF Cat 2 |
- India Nivesh Growth & Special Situations Fund
IndiaNivesh Growth & Special Situations Fund is a Rs. 150 crore private equity fund aimed at creating high growth in direct investment opportunities. The focus of the private equity fund is small and micro businesses with a horizon of 4-6 years. This private equity fund is now closed for subscriptions.
Through this fund, we seek to acquire significant minority stakes in companies that help to create value for the business and investors. These companies have a positive cash flow from the early stages. Investment size of this fund ranges from Rs. 10 crores to Rs. 25 crores
- India Nivesh Renaissance Fund
IndiaNivesh Renaissance Fund is a proposed Rs.900 crore Alternative Investment Fund – (AIF) (CAT II) that will focus on “Turnaround Situations” in mid-sized manufacturing or consumer-driven businesses. It will invest in viable businesses experiencing temporary or transitional operating problems or businesses with strong operations but burdened with insufficient liquidity or excessive debt. The investment horizon for the fund is nearly 4-6 years with an average investment size of Rs.60 crores
About
IndiaNivesh is a full-fledged financial services company having a strong network of branches spread across India. The story of IndiaNivesh is in sync with the growth of India. As the country’s economy has evolved, so have the needs of investors and businesses. With over 11 years of existence and organizational experience of over 300 years, they have a deep understanding of financial markets. More importantly, they combine objectivity with expertise to offer services with a personalized approach. Their sales force has been acclimatized to deliver world-class services resulting in customers enjoying a pleasant experience while fulfilling their goals. To ensure effective solutions for customers, an experienced team has conceptualized and deployed technological tools that have been custom-built to analyze markets incisively and holistically.
IndiaNivesh provides a holistic range of products and services.
- Broking and Distribution
- Private wealth
- PMS – PE & strategic investments
- Portfolio Management Services
- Institutional Equities
- Investment banking and corporate advisory
Investment philosophy
Revenue: Sizable & scalable that can grow at least by 2x without major Capex
Sector in long-term growth trajectory
Strong turnaround potential post-fund infusion
Fund utilisation should be mainly towards working capital support and de-bottlenecking capacities.
Governance: Promoter willingness, integrity and management bandwidth
USP: Brand & distribution network, IPR, entry barrier, niche product & technology
The fund will actively engage with its portfolio companies by strategising, mentoring and monitoring to execute a successful turnaround.
The demand for private equity funds in India has grown exponentially in the last few years. Private equity investment allows investors to invest in various themes and get superior returns with moderate risk.
Media
- Title – Indianivesh PMS shuts down – What should investors do?
On account of the Covid 19 driven volatility IndiaNivesh, announced the closure of its Portfolio Management Services (PMS). The PMS had a size of ₹60 crore and 190 clients. IndiaNivesh clients on the broking side have also faced delays in getting payouts. However, this is due to critical staff not being able to reach the office for carrying out the smooth operations, said the statement. An email sent out by IndiaNivesh to its clients allowed them to either transfer the shares to a demat account in their name or have the PMS manager sell shares and credit their bank accounts.
- IndiaNivesh shutters brokerage business
IndiaNivesh announced shutting down its stock and commodity broking services with immediate effect citing “unprecedented and unanticipated” liquidity crunch due to the outbreak of Covid-19 and the consequent lockdown. “These extraordinary events have exacerbated an economic slowdown and led to an unprecedented and unanticipated liquidity crunch,due to which, the firm is unable to raise funds from financial institutions and banks, resulted in unfavourable situation.”
Analyst questions
How are you dealing with the liquidity crunch?
Are there well-coordinated and standardized communication systems and protocols to ensure clear and transparent communication with all stakeholders?
Doesn’t your organization have crisis management teams to manage short-term liquidity impacts and initiate appropriate countermeasures?
Prepared by – Khushi Shah, September, 2021
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