ChrysCapital, an Indian home-grown private equity (PE) firm, recently announced a significant fundraising chapter, when it successfully made its most recent investment vehicle, Fund X, at a record-breaking $2.2 billion. This is a record deal that has been achieved in the history of the firm, and it has been achieved in such a short duration of only six months. The huge capital inflow highlights the interests of the worldwide investors who find the company attractive and its optimistic view on the investment conditions in India.

Fresh capital for Fund X

The Fund X closure of $2.2 billion is a significant growth compared to the previous Fund of ChrysCapital fund, Fund IX, which closed at $1.35 billion in 2022. The new fund is a massive 60% growth on the previous fund, which makes ChrysCapital a powerhouse in the Indian private equity industry.

Fund X was financed by a highly varied and wide range of international investors, with more than 30 new limited partners. Such new international investors encompass a diverse range of institutional and individual sources of capital, including but not limited to public pension funds, large insurance companies, asset management companies, family offices, and other institutional investors.

The geographical distribution of this capital is interesting, as investors throughout the U.S., Europe, Japan, the Middle East, and Southeast Asia are involved. Fund X was also a pioneer of the PE firm since it saw the entry of Indian investors, in this case, the institutional investors and large family offices, which indicated increasing domestic confidence and involvement in large PE funds.

The Partner at ChrysCapital, Gaurav Ahuja, said, “Investors recognise that India represents one of the world’s most compelling long-term investment opportunities, underpinned by favourable demographics, rising consumption, rapid digital adoption, and supportive policy frameworks. With Fund X, ChrysCapital is well-positioned to back ambitious entrepreneurs with long-term patient capital value-creation and operational expertise.”  

Quotation Source: Fortune India  

Strategic investment and track record

The record-breaking Fund X that ChrysCapital will roll out within the next three to four years is a reality, and the firm has affirmed that several deals are already in the pipeline. This implementation will be informed by the identified investment focus of the firm, which lies in high-growth areas that will be helped by the economic transformation of India. The strategic investment in the firm will be mainly concentrated on the key areas, which are enterprise technology, financial services, healthcare, consumer, new economy, and manufacturing.

The successful exit of this fund follows when the larger industry of Private Equity in India is enjoying momentum in investment and successful exits. According to a recent EY-IVCA Report, this is a strong market environment. ChrysCapital has an impressive track record by itself. 

The firm reports that it has raised nearly $8.5 billion and deployed more than $5.5 billion in its ten funds so far on over 110 deals. The company boasts of having achieved high returns in its investments, achieving almost 3X returns and earning it about $7.8 billion out of over 80 exits.

Conclusion

Home-grown PE Company ChrysCapital, in just six months, closed its record $2.2 billion Fund X is evidence of the successful approach of the company and the belief of the global investor community in the Indian growth story. Fund X has a 60% increase over its predecessor fund and over 30 new global LPs, which places Fund X in a strategic position to take advantage of the increasing consumption, digitalization, and favorable policy climate in India. With this huge fundraise, it is evident that the private equity market in India is on a lasting and ever-increasing wave.