India Inflection Opportunity Trust launches 2nd AIF Rs 2000 crore Bharat Value Fund

The India Inflection Opportunity Trust (IIOT), managed by Pantomath Capital Management and led by industry veteran Madhu Lunawat, has launched its second Alternative Investment Fund (AIF) called the Bharat Value Fund (BVF).

The new fund has a targeted corpus of Rs 2,000 crore, which includes a base amount of Rs 1,000 crore and an additional green shoe option of another Rs 1,000 crore. 

The first close of the fund has already seen firm commitments exceeding Rs 1,000 crores, fully utilizing the green shoe option at the outset.

Focusing on pre-IPO investment opportunities

Launched in April 2024, the Bharat Value Fund aims to focus on pre-IPO investment opportunities in Indian growth-stage enterprises. The fund's strategy is to support companies that embody the "Made in India" ethos, which includes substituting imports, fostering exports, and bolstering India's vast rural consumption market.

According to Madhu Lunawat, CIO of IIOT, “Bharat Value Fund is designed to capitalize on the massive demographic opportunities in the mid-market segment of the Indian economy. We are confident that BVF will deliver robust returns and become a cornerstone of our investors' portfolios, helping them achieve long-term growth and financial success.”

IIOT's inaugural fund, the India Inflection Opportunity Fund (IIOF), deployed 100% of its INRs R 500 crore corpus within eight months of its final close. The fund has made twelve investments to date, including successful exits at a 10x valuation, returning over 60% of the invested amount to its contributors within the same timeframe. 

The portfolio companies under IIOF include Inventys Research Company, Silver Consumer Electricals, MKC Agro Fresh, SAR Televenture, and Vikran Engineering & Exim.

Backing from notable investors

The Bharat Value Fund is supported by a diverse group of investors, including sovereign funds, global investment firms, and Indian family offices, though specific names have not been disclosed.

“We have stuck to our theme of participating in businesses that contribute to Make-in-India, rural consumption, and having global engagements while creating meaningful societal impact,” added Lunawat.