After $20 mn bet in fund, Japan's Resona Bank deepens ties with Tata Capital for India play

Mumbai: Japan's Resona Bank on Monday announced a tie-up with Tata Capital to provide its clients better access to financing solutions and opportunities in India using the non-bank lender's local network.

The announcement follows a USD 20 million investment by Resona Bank as a limited partner in Tata Capital Growth Fund III LP, which invests in Tata Capital Growth Fund III, a fund managed by Tata Capital, as per an official statement. However, the Japanese lender did not reveal the timeline of this investment.

Under a memorandum of understanding (MoU) announced on Monday, both Tata Capital and Resona Bank will leverage their respective strengths in the Indian market, it said, adding that this is a non-exclusive collaboration under which opportunities will be explored through Tata Capital's network.


The Japanese partner will leverage the Indian partner's local presence and expertise in financial services to provide support for its customers evaluating opportunities in India, the statement said.

"This collaboration combines Tata Capital's deep understanding of the Indian market with Resona Bank's strong relationships with Japanese businesses," said Rajiv Sabharwal, the MD & CEO of Tata Capital.

He added that the Tata Capital Growth Fund III has a proven track record of value creation and will support companies looking to capitalize on India's growth story.

Resona Bank's executive officer, Mamoru Saito, said India is a strong market that has witnessed exponential growth and is increasingly becoming important to Japanese companies across manufacturing, sales, procurement, research and development.