Modulus Alternatives to launch Rs 2,000 crore private credit fund

Modulus Alternatives, an investment manager with mid-market focus, is ready to unveil its third credit fund of Rs 2,000 crore for senior-secured private credit opportunities in its target universe, chief executive officer Sandeep Agarwal said.

The fund size includes a Rs 1000 crore greenshoe option.

"We will continue to invest in performing mid-market companies like we did in the previous occasions, keeping a two-to-three-year time horizon in mind," Agarwal, who joined the company at the beginning of the year, told ET.


Modulus will focus on sectors such as chemicals, healthcare, pharmaceuticals, industrials, clean energy, EV mobility, financial services and auto ancillaries.

Its first two funds -- of size of Rs 360 crore and Rs 725 crore respectively -- have collectively deployed about Rs 3,150 crore across 29 transactions, while successfully exiting 18 investments and cumulatively returning over Rs 1,750 crore to investors.

Promoted by Centrum group, Modulus has former chief financial officer of Reliance Industries Alok Agarwal as its key investor with about 24% stake.

The alternative investment manager is planning two more funds beyond private credit space. It is exploring one venture debt fund, which will be followed by a pre-IPO equity fund, people familiar said.