The article below is an overview about small and mid-sized private equity groups are increasingly muscling in on the buyout deals space.
Ambit Pragma, Motilal Oswal and Gaja Capital are among the clutch of such firms that are adopting the strategy that was long held to be the preserve of larger global private equity firms. “We are seeing an increasing number of buyout deals in India.
There are multiple reasons as to why buyouts are becoming increasingly popular. It could be the need to divest non-core businesses, succession planning, consolidation of a fragmented industry, or the need for significant amount of capital to accelerate to the next level of growth,” said Dhanpal Jhaveri, partner and CEO of Everstone Capital Advisors, which manages assets of about $2 billion. Using the ‘buy-and build’ strategy, some of the small and midsized firms have also appointed operating partners that have taken over as the chief executive of their portfolio companies, following a model first deployed by Everstone and New Silk Route Growth Capital.
Mumbai-based Ambit Pragma, which invests about $10 million, named Nirmesh Prakash, a partner with the firm, as chief executive of Delhi-based dairy firm, Neo Milk Products, after promoter Dinkar Suri quit the organisation in September.
Tags: Private Equity, Private Equity Firm, Private Equity Group, Private Equity Company, Private Equity Fund, Private Equity Investment, Private Equity Investor, Fund of Fund, Private Equity Business, Private Equity Industry, PE, Ambit Pragma, Motilal Oswal, Gaja Capital, Buyout, Buyout Deals, Dhanpal Jhaveri, Everstone Capital Advisors, New Silk Route Growth Capital, Mumbai, Ambit Pragma, Nirmesh Prakash, Delhi, Neo Milk Products, Dinkar Suri.