September 13, 2021 03:37 PM
Kotak Special Situations Fund (KSSF) on September 13 announced that it has invested RS1,000 crore to back TVS Supply Chain Solutions Limited (TVS SCS) and promoters of the TVS group.
KSSF — managed by Kotak Investment Advisors Limited (KIAL) — has financed TS Rajam Rubbers Private Limited with RS 800 crore in the form of non-convertible debentures (NCDs) to help the promoter, R Dinesh acquire CDPQ’s stake in TVS SCS. Apart from this, KSSF also invested RS 200 crore in the form of equity in TVS SCS.
“We are delighted to support the TVS group and R Dinesh in consolidating their ownership in a valuable and high growth technology-led business. This financing support demonstrates Kotak’s ability to work closely with entrepreneurs and business owners as a confidante and preferred partner to find solutions to complex issues,” KIAL Managing Director Sriniwasan said in a statement.
TVS SCS — a leading third-party logistics (3PL) services provider with global operations — has strong capabilities in providing supply chain solutions, freight forwarding and last-mile logistics with long-standing relationships with marquee clients.
KSSF is an alternate investment fund managed by the asset management firm, Kotak Investment Advisors Ltd. SSF currently manages a $1 billion fund with a mandate to invest in special situations, credit and distressed space in India.
“We look forward to working with R Dinesh and supporting TVS SCS leverage its strong capabilities to provide innovative supply chain technology solutions. This investment is in line with our objective of participating in growth-oriented businesses and partnering with industry leaders by offering customized solutions to fit the needs of each business and is a win-win for all,” KSSF CEO at KIAL Eshwar Karra said.
Earlier in June, KSSF informed that it has invested over half of its $1-billion initial corpus in eight companies and would scout to raise a similar amount from investors later this year. KIAL, a part of Kotak Mahindra Bank, in February 2019 launched KSSF as an AIF special situations fund with a $1-billion corpus.
It received 50 percent maiden money from the UAE sovereign wealth fund Abu Dhabi Investment Authority ($500 million), 25 per cent ($250 million) from the Singaporean sovereign wealth fund GIC, and the rest between Premji Invest and Kotak Group.