The International Finance Corporation (IFC), the World Bank’s private investment arm, has proposed to commit $40.6 million to Mumbai-based private equity firm Multiples Alternate Asset Management’s second fund. It is also considering co-investing alongside the fund, Plenty Private Equity Fund I.
The new fund, which follows Multiples Private Equity Fund I, was launched in 2015 with an initial target of $500 million, but was later raised to $600 million. In April last year, PPEF1 held a first close on $400 million. The Canadian Pension Plan Investment Board has committed $140 million to the fund, according to PEI Research & Analytics.
The fund targets mid-market companies in consumer, healthcare, logistics, IT and financial services. It has announced plans to earmark $150 million from the fund to invest in India’s financial technology sector.
In November 2011, the firm held a final close on its debut fund, Multiples Private Equity Fund I at $405 million. Fund I has been fully invested in 11 companies including water purifier company Livpure, logistics and technology provider Delhivery, specialty hospital Vikram Bangalore, the South Indian Bank and non-banking finance company Cholamandalam Investment & Finance, which it has partially exited in January last year.
Known investors in the fund include the Punjab National Bank, Reliance Industries Limited, Small Industries Development Bank of India, UK’s CDC Group, Reliance Industries Limited, Netherlands’ PGGM and Kuwait’s Public Institution for Social Security, according to PEI Research & Analytics.
The firm has about $1 billion in assets under management and is headed by Renuka Ramnath, a former managing director at ICICI Venture
In South Asia, the IFC has already made commitments to Kotak Mahindra Group’s Kotak India Private Equity Fund III, Brummer & Partners’ Frontier Bangladesh II and Everstone Capital’s Everstone Capital Partners III.