Global institutional investor Caisse de dépôt et placement du Québec and Piramal Asset Management Private Ltd on Thursday announced a $300 million platform to target private credit financing opportunities in India.

CDPQ will contribute 75 per cent of the investment and Piramal Asset Management Private Ltd, which is a wholly‑owned subsidiary of Piramal Enterprises Limited (PEL), will commit the remaining 25 per cent.

“The platform will offer private credit solutions to companies across various industries in India, including manufacturing, consumer, industrial, healthcare, pharmaceuticals, logistics, among others,” PEL said in a statement, adding that the partnership is aligned with both CDPQ’s investment strategy in a country with significant long-term economic growth potential and Piramal’s direct lending strategy to mid-market companies and major corporations.

“We are excited to announce the launch of a structured credit platform with our long-term partner and marquee global investor, CDPQ… This platform aims to leverage the significant market opportunity for alternative pools of capital to provide valuable solutions in the private credit space,” said Ajay Piramal, Chairman, Piramal Group.

Anita M George, Executive Vice-President and Head of Strategic Partnerships, Growth Markets, at CDPQ said, “Through our partnership, we are able to support growing businesses and invest in India’s thriving entrepreneurship.”

CDPQ and PEL have been working together since 2017. CDPQ has recently invested $ 250 million in PEL’s compulsory convertible debentures. CDPQ’s real estate subsidiary, Ivanhoé Cambridge, has also committed $250 million towards a co-investment platform with PEL to provide long-term equity to blue-chip residential developers.

CDPQ and Piramal announce $300 million platform for private credit financing

 

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