Swiss impact investment firm Enabling Qapital (EQ) has partnered with Chennai-based Vivriti Asset Management (VAM), a leading asset manager, to invest up to Rs 375 crore towards fostering UN sustainable development goals (SDGs) and supporting businesses that are expected to lead economic recovery post pandemic.
The partnership aims to provide debt finance to support small enterprises and fin-techs, empower women entrepreneurs, and strengthen agriculture supply chains, according to a statement by VAM.
EQ has a global footprint with more than 25 team members based in Switzerland, Liechtenstein, Kenya, Pakistan, Kirgistan, India and Ecuador.
The firm is currently advising assets of roughly $ 300 million.
Chuck Olson, managing partner at EQ, said: “The partnership will leverage Vivriti team’s extensive track record of identifying high-quality enterprises, investing in Indian credit markets and managing risk across business cycles.”
Earlier this year, VAM raised commitments of Rs 1,300 crore across its funds from global and domestic investors interested in investing in this space. These funds target yields between 8-16% with low volatility of return, by providing mid-market and emerging enterprises with tailored finance, it said.
Soumendra Ghosh, chief investment officer of VAM and founding member of Vivriti Group said: “ We are pleased to partner with EQ, to drive objectives that both firms are passionate about. India’s shallow debt markets present massive opportunity to asset managers with ability to bridge the gap between perceived and real risk.
“Powered by the group’s strong technology and risk-management backbone, we at VAM have been able to consistently create portfolios demonstrating superior-to-market risk-adjusted return, while investing in socially responsible enterprises.”