Edelweiss Wealth Management eyes $1 billion through Crossover Opportunities fund

Edelweiss Wealth Management’s Crossover Opportunities series of funds, which is a pre-IPO and late-stage private equity focused series of funds, plans to raise a total of $1 billion after the latest round saw the fund mobilise $200 million. The Series III, which was launched in March this year, has announced its final close with commitments of over Rs 1,500 crore or $200 million, stated a release by the wealth management firm while adding that the Crossover series have raised a total of Rs 3,700 crore or $500 million across three funds.
 
Further, the fund has now launched Crossover Series III A to raise at least another Rs 1,500 crore or $200 million, it added. According to the firm, the Crossover series, which was launched in 2017, will continue with the launch of a series of funds over the next 12-18 months to achieve its stated target of $1 billion.

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While Crossover I and II were launched in November 2017 and September 2018, respectively, the funds have in their portfolio names like the National Stock Exchange, Sapphire Foods, Affle, Indiamart, CAMS, Amber and Medplus among others. The funds have delivered returns of 16.2% and 28.7%, respectively, since inception while Crossover I has also distributed over 60% of the capital raised after successfully exiting part of its portfolio.

“The private market has largely been inaccessible to many of our Indian HNI and family office customers who are looking to invest in fundamentally strong companies with proven business models,” said Anshu Kapoor, President & Head, Investment Management, Edelweiss Wealth Management.

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“At the same time, many of these companies preparing to go public need to raise funds to deleverage their balance sheet or make up for PE investor exits. Crossover as a strategy aims to bridge this gap. We provide quality Indian capital to fund home-grown companies with extensive domestic and global ambitions on their way to IPO. For an investor, the strategy offers attractive entry valuations with an imminent exit via public markets, thereby mitigating the risk involved in unlisted securities,” he added. Edelweiss Wealth Management is among the leading wealth management firms of India with assets under advisory of over $22.5 billion.

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