Chart of the week: India-focused private debt fundraising drops off

Capital gathered for India-focused closed-ended private debt funds in 2015 failing to catch up to bumper 2014


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It was reported this week that Trifecta Capital Partners has reached a first close at ?2 billion for its debut India-focused venture debt vehicle, which has a target size of ?4 billion. Subsequent to this, PEI’s Research & Analytics team has analysed closed-ended private debt fundraising for India.

Five private debt funds raised a total of $1.19 billion for investments into India in 2014, approximately ten times more than was gathered in 2013. With three months of the year left to go, 2015 fundraising has already surpassed the 2013 aggregate figure but looks set to fall short of 2014’s bumper fundraising year. Three India-focused private real estate debt vehicles have collected $272.48 million from investors to date in 2015, reaching just 23 percent of the 2014 total.

Reliance Yield Maximiser Alternative Investment Fund Scheme I is the largest closed-ended Indian private debt fund to have held a final close in 2015 so far. The vehicle closed at $113.27 million; $44.06 million shy of its target size. Comparatively, the largest private debt vehicle targeting the country to close in 2014 was the CPPIB/Piramal Real Estate Debt Joint Venture which raised half a billion dollars.

India-focused private debt funds currently in market or coming to market have collected $1.41 billion to date from interim or soft closes. The 22 India-focused vehicles on the road have a collective target size of $12.31 billion.