Emerging India Fund

FUND FACTS:• Emerging India Fund (EIF) is an India-focused, sector agnostic Venture Capital Fund.• "IDBI Trusteeship Services Limited" is the trustee of Emerging India Fund.


• Emerging India is managed by ICICI Investment Management Company Limited (IIMCL), a 100% subsidiary of ICICI Bank.
• ICICI Group has nationwide presence across the financial spectrum. The parent company ‘ICICI Bank’ is recognized as top bank for innovations in SME Banking by International Financial Corporation.
• ICICI Group has committed to invest 10% of the total fund corpus (maximum of USD 15 million).


INVESTMENT STRATEGY:
Fund may focus on following sectors: Healthcare, Education, Consumer led Industries, Infrastructure, Power Projects, Logistics, IT & ITES and Outsourcing. Fund will invest in any sector/ corporate as per Growth Drivers Recognized. The Growth indicators are:
• Increasing Consumer Power creating demand for new business.
• Govt.’s focus on Infrastructure, creating opportunities for ancillary infrastructure players. • Emerging Sectors like Logistics, IT and Outsourcing.


GROUP’S PAST PE FUND EXPERIENCE:
ICICI Venture (subsidiary of ICICI Bank) is one of the largest and most successful private equity firms in India with funds under management to the tune of USD 2 billion through India Advantage Fund. ICICI Venture has exposure in almost every sector.
The investment Portfolio of India Advantage Fund includes Samtel Color, TV Today(Aaj Tak), Karvy Stock Broking Ltd, Pantaloon Retails, Welspun India, Centurion Bank of Punjab, Nagarjuna Construction, Naukri.com etc.


FUND ANALYSIS:
Presently PE Funds are focusing on sectors like infrastructure, HealthCare, Education etc. Recently Reliance Private Equity Fund I has invested Rs 120 Crore in Pathways World School.

EIF is promoted by ICICI Group, which has vast experience in project financing/ SMEs financing, is the main advantage of the fund. 10% to 15% of the total fund will be contributed by ICICI Group which shows the seriouness of the group to build faith in the prospective capital contributors. The moderate to high return is expected.The fund can be subscribed.RISK INVOLVE: VC Fund Invest in rapidly growing companies that require a lot of capital or start-up companies. Hold more risk.


FUND DETAILS:
Fund Size: Initial: USD 100 Million
Green Shoe- USD 50 Million
Target Return: 25% IRR per annum
Hurdle Rate: 10% per annum
Min Invest.: Individual=Rs 50 Lac, Domestic Institutional Investors= Rs 5 Crore
Draw Down: 20% at the time of agreement and rest on call.
Management Fee: 2% p.a. of capital commitment/ effective corpus.
Upfront Cost: Upto 2% of the aggregate committed
CARRY: 20% with catch up
Investment Horizon: 7Years
Extension- 1+1 years
Commitment Period: 3 Years from date of final closing

MANAGEMENT TEAM:
Fund will be managed by ICICI Investment Management Company Limited (IIMCL). Mr Vikas Agarwal, Chief investment Officer having 15 years of experience is heading the investment team of 8 experts.


LEGAL COUNSEL: Amarchand & Mangaldas and Suresh A. Shroff  & Company