Avendus PE Investment Advisors, an asset management arm of Avendus Group, announced the launch of Avendus Structured Credit Fund II (“ASCF–II”), the second structured credit fund under alternative investment fund (AIF) Category II.

ASCF–II is targeting a total corpus of Rs 1,000 crore including the green shoe option of Rs 500 crore.

ASCF–II is a sector agnostic fund focused on the performing credit space, providing structured credit solutions to growth-oriented companies with differentiated business models, backed by marquee sponsors. It will leverage the strengths of Avendus Group’s ecosystem, its deep domain knowledge across sectors and its network to provide credit solutions to high performing businesses and entrepreneurs. The fund plans to invest in secured transactions of operating companies as well as holding companies.

The Avendus Structured Credit Platform has a track record of over 10 years, including an investment track record of over 5 years through an NBFC (Avendus Finance) and the first AIF Category II fund, Avendus Structured Credit Fund I (“ASCF–I”).

Over the last 5 years, it has completed more than 50 transactions with a total investment of over Rs 3,000 crore in the structured credit space. ASCF–I, launched in October 2017, invested in 9 transactions out of which 5 have been fully exited and 2 have been partially exited. It has returned 100 percent + capital back on a cash-on-cash basis within 4 years of its launch with a portfolio level gross IRR of 17.5-18 percent, it said in a press release.

Nilesh Dhedhi, Fund Manager, Avendus Structured Credit Fund said, “Through the new fund, we continue to increase our footprint in the credit investment space and strengthen our investment strategy to provide structured credit solutions to larger businesses while generating superior risk adjusted returns for our investors.”