Ajay Piramal-led Piramal Enterprises on Wednesday said it has set up an alternatives fund management business which will house all its partnerships with global funds like CDPQ, CPPIB, APG and others as well as its own subsidiaries.
The new company, Piramal Alternatives, will have assets worth Rs 11,000 crore under management.
Piramal has a joint venture with Canadian pension fund manager CPPIB to provide loan to property developers.
And, with CDPQ, it has a joint venture to give equity to developers.
Piramal has onboarded Kalpesh Kikani as chief executive officer (CEO).
Piramal recently won the bid for Dewan Housing Finance Corporation, the stressed mortgage lender, and is planning to expand its retail lending business.
“While globally, alternatives assets have grown rapidly over the last 10 years to over $11 trillion, in India, the asset class has grown much faster at over a 20 per cent compound annual growth rate (CAGR), making it one of its highest growth opportunities. Our desire is to create a world class alternatives business, across multiple asset classes, that helps fill a significant deficit of long-term risk capital needed by Indian businesses. The alternatives business is another step in building a new-age and digitally-driven diversified financial services conglomerate at Piramal,” said Anand Piramal, executive director at Piramal Enterprises.
Kalpesh was founding managing director (MD) at AION Capital (a joint venture between Apollo Global Management and ICICI Group).
“I am excited to join the Piramal team,” said Kalpesh, adding, “Piramal Alternatives has a great business model, partnered best-in-class global investors, and is uniquely positioned to build a leading homegrown alternatives business across private debt, private equity, and infrastructure. As the Indian economy evolves, Piramal Alternatives can be a significant provider of customised financing solutions to high quality corporates that are looking to maximise their potential.”
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
RECOMMENDED FOR YOU