Apis Growth Fund II, a fund managed by British private equity fund Apis Partners, has acquired a 25.1 percent stake for $110 million in L&T Infrastructure Debt Fund (IDF), a subsidiary of L&T Finance Holdings.
L&T IDF is involved in refinancing operating infrastructure projects in India.
Of the total investment amount, 70 percent will be in the form of growth capital for L&T IDF and 30 percent will be earmarked for purchase of shares from existing shareholders of subsidiaries of L&T Finance Holdings.
Apis’ investment in L&T IDF will support the growth of its loan book across a number of infrastructure subsectors in India such as renewable energy, roads, power transmission, airports and ports.
“With India projected to be the fastest-growing infrastructure market over the next five years, we are delighted for the fund to invest in L&T IDF. The fund’s investment will support the company in its mission of facilitating infrastructure growth, a critical factor for the development of industry, agriculture and trade in emerging markets. The company’s mission is fully aligned to Apis’ own objective of assisting in the deepening of the financial sector as a necessary ingredient for the promotion of economic development in growth markets,” said Matteo Stefanel, co-founder and managing partner at Apis Partners.