Edelweiss raises Rs6,600cr in ESOF's third series through Asset Management arm

The Group's third in the Edelweiss Special Opportunities Fund (ESOF) series was launched with a focus on providing structured credit to Indian companies.

Oct 20, 2020 03:10 IST India Infoline News Service

Edelweiss Financial Services Ltd.
NBFC-major Edelweiss Financial Services has announced that Edelweiss Alternative Asset Advisors (EAAA) which is a part of Edelweiss Asset Management (EAM) has raised Rs6,600cr ($900M) in alternative investment fund - ESOF III.

In its regulatory filing, Edelweiss Financial said, this fundraise, amidst subdued economic climate, is a strong endorsement of the opportunities in the Indian alternative asset management space, as well as the robust and unique private debt platform of EAM.

Rashesh Shah, Chairman and CEO, Edelweiss Group said, “The overwhelming response we’ve received for ESOF III is testament to India’s growth potential and investors’ strong confidence in the Edelweiss private debt platform. Banks and Mutual Funds have been receding from the structured credit space in line with global trends and the current dislocation has further accentuated the need for long-term flexible capital. This presents a huge opportunity for private debt players and it’s reassuring to note that the present market environment has not deterred investors who are keen to participate in India’s long-term growth story.”

The Group's third in the Edelweiss Special Opportunities Fund (ESOF) series was launched with a focus on providing structured credit to Indian companies.

Hemant Daga, CEO, Edelweiss Asset Management said, “We believe, close-ended asset management vehicles are the preferred option for long-term credit investments as they are unlevered, patient capital vehicles. Having built deep expertise in the space, this fundraise is a strong validation of our capabilities to originate, underwrite, structure and realize private credit strategies.

Edelweiss in the regulatory filing highlights that ESOF III strategy has generated strong investor interest and has received commitments from marquee global institutional investors, which include recent investments by the Canadian Ontario Teachers’ Pension Plan Board, Florida’s State Board of Administration, Swedish Pension Fund - AP4 and a European Insurance Investor, among others.

At around 3.01 PM, Edelweiss Financial stock was trading flat at Rs56.80 per piece. The stock has touched an intraday high and low of Rs57.65 per piece and Rs56.05 per piece respectively. 

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