Vivriti Capital runs an online marketplace for mid-market corporates to raise debt. The financial firm also lends from its own balance sheet as part of these transaction to showcase its deep involvement in the business. Vivriti also has a marketplace model, where large-cap investors such as State Bank of India (SBI), ICICI Bank and Templeton Mutual Fund lend to mid-market corporates.
“There will always be different sources of capital, who want to invest in different ways, directly, on our balance sheet, and as a fund. We are raising this alternative investment fund (AIF) so that we have a structure that can absorb every type of money. The AIF becomes another participant in the marketplace,” Vineet Sukumar, co-founder and managing director Vivriti Capital, said.
Sukumar further added that Vivriti’s own loan-book is about ₹1,000 crore, which it expects to grow to ₹2,500 crore by the end of this fiscal.
Disbursals from the marketplace are also expected to increase from about ₹19,000 crore so far to about ₹29,000 crore by 31 March 2020, he said.
“While the LP (limited partners) base will mostly be domestic, we are setting up a structure to raise money from overseas, and are setting up an offshore manager,” he added.
He further said that the fund will lend to mid-size corporates and financial institutions with annual revenues of around ₹50 crore.
It also plans to raise further equity capital, and has started a formal process to raise ₹450 crore from private equity funds, Sukumar stated.