Anicut Capital raises $11 million for Private Credit Fund III via GIFT City Structure

Anicut Capital, a Chennai-based alternative asset management firm, has raised $11 million in dollar-denominated investments for its Private Credit Fund III. 

The funds were raised through the GIFT City (Gujarat International Finance Tec-City) structure, which has been developed to promote international investments in India. 

Who are the investors?

The funds were sourced from a diverse group of institutional investors, family offices, and high-net-worth individuals (HNIs) from key global markets, including the United States, United Kingdom, Europe, and the Middle East.

The investment was facilitated by the International Financial Services Centres Authority (IFSC), an entity designed to attract and regulate international financial services in India. 

Purpose of the fund

Anicut Capital's Private Credit Fund III is part of a larger goal to raise a total corpus of Rs 1,500 crore (approximately $180 million). 

The fund aims to provide much-needed financing solutions to mid-sized enterprises in India. It will focus on offering credit for acquisitions, promoter buybacks, bridge financing, and other growth capital needs. 

With the capital raised, Anicut Capital plans to bridge funding gaps for these businesses, helping them scale and expand in a competitive market.

Anicut Capital's track record

Since its inception, Anicut Capital has deployed around Rs 3,200 crore ($390 million) in private credit across various sectors. The firm’s portfolio includes well-known companies such as Milky Mist, Wow! Momo, Bira, Blue Tokai, and Agnikul.

With these investments, Anicut has played a significant role in supporting businesses poised for growth, fostering innovation and development in the Indian market.

According to Ashvin Chadha, Managing Partner at Anicut Capital, the funds raised via the GIFT City structure reflect global investors' growing confidence in the firm's ability to deliver customized credit solutions for mid-market companies.

GIFT City and future plans

GIFT City has emerged as a key hub for international financial services in India, and the successful capital raise through this structure reinforces its role in facilitating cross-border investments. Anicut Capital's continued focus on raising funds through GIFT City for its Private Credit Fund III aligns with its broader strategy of supporting high-potential businesses in India.

The firm is also expanding its presence in GIFT City and its footprint across major Indian cities, including Delhi, Chennai, and Bengaluru.

Anicut Capital has a total active AUM (Assets Under Management) of Rs 3,500 crore.