Aditya Birla to invest $100 mn in its private equity fund

Mumbai: The Aditya Birla Group on Tuesday announced its entry into the private equity business, committing an investment of $100 million in its ‘Aditya Birla Private Equity Fund’, which has a targeted corpus of $ 250 million, said a news release from the company.

The business currently has a 10-member team which will be headed by the Managing Director and CEO of the Aditya Birla Private Equity business, Mr Bharat Banka.

“The current scenario of the market is an ideal time to build winner companies that require active operational value addition from private equity”, said Mr Banka.

The business has identified the sectors of “consumption-led growth, infrastructure enablers and other niche emerging sectors including education, healthcare, logistics, digital media and entertainment, and selective skilled ancilliary businesses such as niche engineering, manufacturing eco-system, support ancilliaries and business services.”

Mr. Banka said the company would be operated “like a business” and is not just another fund. “The focus of this business is to leverage the knowledge base and expertise of the team to create winner companies in the unlisted mid-markets.”

The group already has a private equity investment advisory and management business in the form of Aditya Birla Capital Advisors.