Bahrain-based asset manager Investcorp and four of its current and former executives have settled a case pertaining to violations of alternative investment fund regulations with the Securities and Exchange Board of India.
Investcorp and the executives settled the matter by paying a fee of Rs 25.5 lakh to the capital markets regulator on February 1, according to a SEBI order.
The case pertains to a lapse in winding up of Investcorp Real Estate Yield Fund and liquidating its investments within a stipulated time frame, as mandated by the regulator. The four executives who settled the case are Gaurav Sharma, Ritesh Vohra, Ajay Kumar and Niraj Sirsalewal. Vohra left Investcorp last year. The other three are still with the firm.
SEBI’s AIF regulations mandate that the fund should be wound up and its investments liquidated within one year of the trustee intimating the regulator about the circumstances that caused the winding up of the fund.
However, the regulator discovered after a probe that the Investcorp-managed fund was wound up in more than one and half years — exceeding the deadline by more than six months.
SEBI had, in January, issued a notice to the fund and its administrators regarding the lapse and had granted them the option to file for settlement by paying the required amount.
Investcorp entered India in 2019 with the acquisition of the private equity and real estate fund businesses of IDFC Alternatives. The Real Estate Yield Fund was part of that acquisition. The fund had raised Rs 750 crore in 2014 to make debt investments in residential projects.
Founded in 1982, Investcorp specialises in alternative investments across private equity, real estate, credit, infrastructure, and other verticals. According to the company’s website, its global real estate investments have totalled over $25 billion across more than 1,300 properties in the US, Europe, India and GCC, since 1996.
It has 14 offices across the US, Europe, the Gulf region, and Asia, including India, China, Japan, and Singapore. It has more than $55 billion in total assets under management, including assets managed by third-party managers.
Its India portfolio consists of mid-market companies across private equity and real estate sectors. In PE, Investcorp targets the consumer and retail, healthcare, financial services, B2B, and technology sectors.
Its portfolio firms include Global Dental, Wakefit, Canpac, Xpressbees, Nephroplus, Safari Industries, InCred, Citykart, Zolo, Freshtohome, Intergrow Brands, Unilog, V-Ensure and NDR Warehousing.
Get daily update with our newsletter Subscribe Now !
