In order to raise Rs 3,000 crore, including a greenshoe option of Rs 1,500 crore, financial services company Avendus intends to establish the third edition of its late stage private equity fund, Future Leaders Fund (FLF III).
Targeting industries including financial services, consumer, digital and technology, healthcare, and manufacturing, the fund would make 10–12 investments with an average commitment of Rs 200–300 crore. The investments will be made in firms with disaggregated institutional investor ownership through both primary and secondary transactions.
Our strategy remains simple with Avendus Future Leaders Fund III: using the enormous potential of late-stage private prospects while co-opting the current financial sponsor ecosystem. We still support unique, superior companies with long-term competitive moats and well-defined liquidity plans. With less portfolio volatility, the FLF platform seeks to produce consistent, predictable, and repeatable results, according to managing partner Ritesh Chandra of Avendus Future Leaders Fund.
Across its previous two funds, FLF has managed aggregated assets under management of more than Rs 1,850 crore. Businesses like Bikaji Foods, Ujjivan Small Finance Bank, Lenskart Solutions, Delhivery, VerSe Innovation (Dailyhunt), SBI General Insurance, Licious, Juspay, Zeta, Indegene, Veritas Finance, FirstCry, Avanse Financial Services, and Xpressbees are among the companies featured on the platform.
The National Stock Exchange of India Limited and Lenskart Solutions Private Limited were recently divested by the company from its first fund. In four years, both were producing returns that were almost four times higher.
The initial fund, FLF I, is generating good returns and has promptly repaid all of the investor funds. The second fund intends to use its remaining funds over the next months after completing 11 deals thus far.
Renowned family offices, HNIs, and local institutions from the US and India make up the platform's diversified investment base.
