The India Direct Fund

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The India Direct Fund (IDF) was among the first private equity funds set up in 1996 for investment in India. International Equity Partners, Washington (IEP) is the fund manager and IDEA is the Advisor to the fund. Housing Development Finance Corporation Ltd. (HDFC) is the strategic advisor to the fund.

The IDF is an India dedicated $34 million Private Equity fund and invests in companies in India centric business plans. The fund has made 10 investments and is now fully invested.

The objective of the Fund is to provide mezzanine to high-growth companies in India. IFC (Washington), GIC (Singapore), Mitsui & Co. (Japan), and Nomura Jafco (Japan) are among the Principal subscribers to this fund.

Since its inception, the IDF has committed investment aggregating $28 million in ten companies. IDEA’s representation in the IDF Investment Committee enables us to contribute with our knowledge of Indian industry.

While six of the initial investments are in old economy companies, the last 4 investments have been in  the technology sectors. We have started disinvestment of our portfolio and have already returned over 30% of the fund to the investors. Initial returns have been good.

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