<article>Baring Private Equity Asia’s credit platform is investing Rs 150 crore ($21.8 million) in BSE-listed non-banking finance company Capital Trust Ltd by subscribing to its non-convertible debentures (NCDs).</article>

Baring Private Equity Asia’s credit platform is investing Rs 150 crore ($21.8 million) in BSE-listed non-banking finance company Capital Trust Ltd by subscribing to its non-convertible debentures (NCDs).
The issue is in the form of rated, listed, secured, redeemable, taxable, non-convertible debentures to BPEA India Credit Investments Trust II, a part of Baring Equity. Capital First has already received the first tranche of Rs 75 crore.
The NBFC, which provides enterprise and micro-finance loans to micro and small enterprises in the country, plans to use the funds to fuel growth and expansion, as well as to enable easy access to other financial instruments for the unbanked population.
Capital Trust was incorporated in 1985 primarily to provide consultancy to foreign banks, but in 2008, it stopped its prior consultancy services and ventured into microfinance. In September 2016, Capital Trust acquired a NBFC-MFI which is now operating as a 100 per cent owned subsidiary of the company.
The company at present provides loans through its 250 branches in 10 states across north and east India. It offers door-step financial loans ranging from Rs 1 lakh-Rs 10 lakhs to MSMEs. It is present in six states with assets under management more than Rs 500 crores, according to its website.
Baring Private Equity Asia is one of the largest alternative asset management firms in Asia, with a total committed capital of over $10 billion. The firm has been investing in Asia since its formation in 1997 and has over 125 employees located across offices in Hong Kong, China, India, Indonesia, Japan and Singapore. Baring Asia currently has over 30 portfolio companies active across Asia with a total more than 153,500 employees and sales of approximately $29.1 billion in 2017.
The private equity set up the credit platform in 2016 to explore the growing demand for debt among large and mid-sized Indian companies. Over the past five years, the team has deployed capital into the Indian mid-market across a broad range of sectors, according to its website.
The most recent fund managed by the company has made 21 loans to growing businesses.

The firm plans to use the funds to fuel growth and expansion, as well as to enable easy access to other financial instruments for the unbanked population. 

Baring PE Asia’s credit platform to invest $22m in Indian NBFC Capital Trust

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