ADB to invest $100 million into NIIF’s Fund of Funds

Our Bureau Mumbai | Updated on March 30, 2020 Published on March 30, 2020

The platform has now secured $700 million in commitments from three investors

Asian Development Bank (ADB) will invest $100 million equivalent into the National Investment and Infrastructure Fund (NIIF) of India’s Fund of Funds. With this investment the NIIF platform has now secured $700 million in commitments. Government of India and Asian Infrastructure Investment Bank are the other investors in the fund.

Sujoy Bose, Managing Director & Chief Executive Officer of NIIF, said, “ADB’s commitment to NIIF Fund of Funds during these extraordinary and challenging times is highly meaningful. It reflects ADB’s confidence in the continued growth and potential of the Indian economy, its skilled private equity fund managers and the large pool of determined entrepreneurs who seek capital to grow and strengthen their companies.”

“ With this capital infusion, the FoF will be able to increase its support to India-focused PE fund managers at a time when their global fundraising prospects may be challenging in the short term,” he added.

NIIF Fund of Funds (FoF) was established in 2018 with the objective of creating a vehicle to provide India-focused private equity fund managers with a go-to institutional investor operating at scale and based in India. The FoF invests into a variety of sectors and strategies through third-party managed funds. So far, it has made commitments to three funds aggregating to over ₹2,600 crores ( $350 million equivalent). The three Funds are focused on a wide range of sectors, including green energy and climate; middle-income and affordable housing; and entrepreneur-driven mid-market growth companies operating across diversified sectors. Additionally, the managers of the three funds have successfully raised $1.1 billion equivalent alongside NIIF’s investments.

ADB Vice-President for Private Sector and Public-Private Partnerships, Diwakar Gupta said, “ADB is proud to partner with NIIF in this landmark transaction especially at a time when countries globally, India included, are facing unprecedented challenges. ADB’s investment in NIIF will help catalyze institutional capital into domestic private equity funds in India, thereby contributing to greater availability of long-term growth financing for private sector companies and leading to the creation of quality jobs, social infrastructure development, and economic growth.”

Published on March 30, 2020

A letter from the Editor

Dear Readers,

The coronavirus crisis has changed the world completely in the last few months. All of us have been locked into our homes, economic activity has come to a near standstill. Everyone has been impacted.

Including your favourite business and financial newspaper. Our printing and distribution chains have been severely disrupted across the country, leaving readers without access to newspapers. Newspaper delivery agents have also been unable to service their customers because of multiple restrictions.

In these difficult times, we, at BusinessLine have been working continuously every day so that you are informed about all the developments – whether on the pandemic, on policy responses, or the impact on the world of business and finance. Our team has been working round the clock to keep track of developments so that you – the reader – gets accurate information and actionable insights so that you can protect your jobs, businesses, finances and investments.

We are trying our best to ensure the newspaper reaches your hands every day. We have also ensured that even if your paper is not delivered, you can access BusinessLine in the e-paper format – just as it appears in print. Our website and apps too, are updated every minute, so that you can access the information you want anywhere, anytime.

But all this comes at a heavy cost. As you are aware, the lockdowns have wiped out almost all our entire revenue stream. Sustaining our quality journalism has become extremely challenging. That we have managed so far is thanks to your support. I thank all our subscribers – print and digital – for your support.

I appeal to all or readers to help us navigate these challenging times and help sustain one of the truly independent and credible voices in the world of Indian journalism. Doing so is easy. You can help us enormously simply by subscribing to our digital or e-paper editions. We offer several affordable subscription plans for our website, which includes Portfolio, our investment advisory section that offers rich investment advice from our highly qualified, in-house Research Bureau, the only such team in the Indian newspaper industry.

A little help from you can make a huge difference to the cause of quality journalism!

Support Quality Journalism
This article is closed for comments.
Please Email the Editor
You have read 1 out of 3 free articles for this week. For full access, please subscribe and get unlimited access to all sections.