BlackSoil Capital exits 15 investments with 18% returns in FY21

Alternative credit platform BlackSoil Capital has made total 15 exits in financial year 2020-21 across diverse sectors such as direct-to-consumer (D2C), e-commerce, fintech, non-banking finance companies (NBFCs) and mobility with around 18% returns despite the pandemic and the ensuing six-month moratorium announced by the Reserve Bank of India.

The majority of its investee companies have managed to attract marquee investors, resulting in notable exits via private equity investments, mergers & acquisitions as well as refinance activity.

“Ensuring timely collections is equally critical as is growth of loan book and we have emerged effectively in doing both despite facing all kinds of business cycle disruptions. This milestone just reiterates how the private credit asset class provides regular cash-flow, exits and superior risk-adjusted returns to investors, especially in the backdrop of how Indian PE/VC players have generally struggled in getting consistent exits,” said Ankur Bansal, Co-Founder of BlackSoil.


Last month, it had announced investment in Mahaveer Finance, Freightwalla, UpMoney NBFC, and D2C affordable fashion player Rapidbox.

BlackSoil has exited over 50 deals since its inception in mid-2016 across its Secured Credit portfolio consisting of venture debt and structured finance. The average gross internal rate of returns (IRR) earned on the exit is around 18% per annum and the capital repaid has been redeployed further in various other high yield credit investment opportunities.

BlackSoil currently manages an alternative credit platform consisting of an RBI-registered NBFC and three SEBI-registered AIFs. The group has totally disbursed Rs 2,150 crore across over 130 transactions and overall exited 70 transactions with over 70% of the exits taking place in its secured non-real estate credit portfolio itself.