India: PE firm ICICI Ventures raises $350m for fourth sector-agnostic fund

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Private equity firm ICICI Venture Funds Management Co. Ltd has so far received gross commitments of $350 million for its fourth sector-agnostic fund, according to two people aware of the development.

“The firm has so far received close to $350 million in commitments from limited partners for its fourth fund and it continues to be in talks with investors to raise additional money before the fund’s final close,” one of the two people cited above said on condition of anonymity.

“The deadline for the final close is 30 September 2017,” said the other person, also declining to be named.

ICICI Venture is a subsidiary of ICICI Bank.

The firm had marked the first close of the fund—called ‘India Advantage Fund Series 4’—at $190 million in April 2016 . The first close is a fund-raising milestone for firms running private equity and venture capital funds as it allows them to start deploying the money.

A spokesperson for ICICI Venture declined to comment.

ICICI Venture has so far raised seven funds across investment themes. Under the India Advantage Fund Series, ICICI Venture manages three funds with an aggregate corpus of $1.7 billion.

The last fund, launched in 2009, was raised domestically and invested in firms like Krishna Institute of Medical Sciences, Star Health and Allied Insurance, ING Vysya Bank and TeamLease Services.

From the fourth fund, the private equity firm invested in speciality chemicals firm Anthea Aromatics Pvt. Ltd in April last year. It also invested an undisclosed amount in health insurer Star Health and Allied Insurance in August last year. Besides the three sector-agnostic funds, the ICICI Venture has raised two realty funds, a mezzanine financing fund and a joint special situations investment fund with Apollo Global Management.

ICICI Venture also runs AION Capital Partners, the $825 million special situation fund in India, launched along with global private equity firm Apollo Global Management. In the real estate sector, ICICI Venture manages two funds with an aggregate original corpus of $600 million. ICICI Venture has also created a platform company in partnership with Tata Power Co. Ltd to invest in power projects in India over the next two-three years.

The platform is co-sponsored by Tata Power and ICICI Bank and has commitments from partner investors Caisse de dépôt et placement du Québec (CDPQ) of Canada, Kuwait Investment Authority (KIA) and State General Reserve Fund (SGRF) of the Sultanate of Oman, which are some of the largest investors globally.

Also Read: India: ICICI Ventures nearly exits TeamLease as HDFC, Morgan Stanley up stake

India: ICICI Ventures is on the road again to raise a $1bn fund, its largest yet

This story was first published on Livemint