ICICI Venture to raise USD 750 mn from international mkt

Mumbai, Apr 1 (UNI) ICICI Venture Funds Management will be tapping the international market early this fiscal, before the first quarter ends, to raise USD 750 million from NRIs, persons of Indian origin (PIOs) and foreign investors for its India Advantage Fund VI, sources familiar with the development said.

The fund will have a corpus of USD one billion, of which USD 750 million would be raised overseas.

The foreign investment promotion board (FIPB) has approved ICICI Venture's proposal and recommended it for consideration to the cabinet committee on economic affairs (CCEA) for final clearance, as all proposals involving more than Rs 600 crore foreign direct investment (FDI) call for CCEA approval.

The company has informed the FIPB that it would raise the corpus through issue of unit capital to NRIs, PIOs and other foreign investors on a repatriable basis.

It plans to invest the proceeds in mid-size growth companies for funding acquisitions, restructurings, management buyouts and leveraged buyouts across all sectors. However, the focus would be on IT-enabled services, media, pharma, manufacturing and retail.

ICICI Venture had earlier launched the largest private sector equity fund - India Advantage Fund (IAF) I&II - with a corpus of USD 250 million for its international clients. These funds are currently investing in expansion capital and buyout transactions.

Similarly, IAF III&IV was launched to invest in the commercial, residential, retail and other world-class real estate assets, both in developed and development projects in Indian cities with potential for growth. Now through IAF V&VI, ICICI Ventures would be in a stronger position to fund Indian acquisitions abroad.

UNI SN GK SKB1927