“Private equity fund OAKS Asset Management raises Rs 1,000 crore in funding.”
OAKS Asset Management
Consumer sector-focused mid-marketplace private equity fund OAKS Asset management [launched in 2015] has raised Rs 1,000 crore in the direction of the first close of its 2nd fund [expected next month]. The company has mopped more than predicted capital owing to heightened investor calls and present traders topping up with large cheques.
The firm launched its second private equity fund to invest in consumer startups and mid-size companies in India.
What does management say?
Kenneth Serrao, founder and CIO of OAKS Asset Management, said that “investors are increasingly appreciative of the power of high profitable agencies with sustainable cash flows as opposed to cash-burn oriented corporations that require serial capital increases. Record low constant income yields and volatility of real estate as asset magnificence motivate traders to transport in this direction. This results in multiplied allocations from existing traders and sign-ups from numerous new traders
Vishal Ootam, founder and CEO of OAKS Asset Management, added that from Indian family offices and UHNIs, the capital has come, and existing investors have come back with a lot of new investors are referrals from the existing ones and more giant cheques.
Room, Serrao, Vivek Anand PS, and Sandeep Somani raised their first rupees seven hundred crore fund in 2017, which turned into deployed across five companies—banqueting and catering business enterprise Food links, Incred, credible, Hero electric powered and Shree, a girls’ ethnic wear maker and the firm already invested in D2C food brand.
Oatam added that 4 out of 5 businesses, including hero electric, CredAble and two other firms, got follow-on funding at markup valuation and 2 out of 5 expected to be listed in IPO in the next 18-24 months.
Vivek and PS co-founder and managing director OAKS asset management said they had witnessed some of the most exciting times in their journey over 12-18 months.
The company will look back to 10-12 founders who demonstrated meaningful revenue and growth in a capital-efficient manner in a large target market from new funds.
Fundraising came during the fear of a more significant slowdown in deal-making, and global funds cautioned their founders over the liquidity crunch. The rupee fund gained traction amongst investors.
Further, the fund believes that India continues to provide multiple yet easy penetration and growth opportunities as a marketplace.