Tata Capital to roll out first PE fund by 2009-end

Tata Capital plans to roll-out the first of its series of private equity funds by the end of this year and will approach the market regulator Sebi to obtain regulatory approval very soon, a top company official said.

"We plan to launch our first private equity fund, a 'classic' PE fund, before this year-end, specifically targeting the mid-market segment. We will be seeking regulatory approval from market regulator, Sebi, in the near future," Tata Capital Head Private Equity Shailendra Bhandari told PTI here.

This will be followed by the Innovation Fund, most likely by end-2010, and later by a sector-specific fund, Bhandari said.

Tata Capital, which proposes to be the anchor investor in all its domestic funds, has tied-up with Japan's Mizuho Securities to partner it in the mid-market fund which will be the first to be launched.

This fund will target mid-market companies which are typically unlisted and the deal size would be in the range of $25-30-million.

"It will be sector-agnostic and will invest in all sectors except real estate. We plan to do 4-5 deals a year, stay invested in companies for five years and exit in the sixth," he said.