Spice Finance, 3 Degrees AMC launch PE fund

MUMBAI: Spice Finance, the financial services arm of the B K Modi Group, entered into a first-of-its-kind strategic joint venture with Singapore-based 3 Degrees Asset Management to launch the Spice 3 Degrees Special Opportunities Fund.

This fund will invest in distressed assets and special situations spanning India and Southeast Asia. The fund will leverage the specialized skills of Asia���s leading distressed debt manager along with the management turnaround expertise of one of Asia���s best-known entrepreneurs. This unprecedented opportunity will allow institutional and high net worth investors the chance to invest alongside one of Asia���s leading tycoons.

The investment objective is to generate long-term capital growth from a diversified portfolio of debt and private equity investments. The fund will focus on control-oriented investments, where board as well as management control can be achieved at the time of the investment.

This fund will hold a first closing of US$ 21 million comprised of commitments from Spice and 3 Degrees. A final closing will be held once third party commitments reach US$ 100 million.

���Spice Finance will invest Rs 500 crore in distressed assets and special situations, as well as other niche businesses such as remittances and over-the-counter exchanges. Our strategic alliance with 3 Degrees is the first significant step in our goal to achieve a US$ 1 billion valuation for Spice Finance within the next few years,��� said Divya Modi, Executive Director of Spice Finance.