Emerging Markets
Chicago-Based Investments House Expands India Business
The move into India also comes at a time when, partly because of cooling trade relations between the US and mainland China and concerns about supply chains amid the COVID-19 crisis, India has been seen as an alternative destination for some US investment flows.
Chicago-based Creation Investments Capital Management, an alternative asset manager focused on developing markets, has opened its first India office, naming industry veteran Remika Agarwal as vice president and country head.
As part of the move, the firm has launched its first debt fund, concentrating entirely on providing debt financing to non-bank financial companies serving the Indian population in areas such as micro-lending, affordable housing, vehicle loans, small- and medium-enterprise lending (SMEs), and education finance. Investors in Creation’s earlier private equity funds, including family offices, have indicated interest in committing capital to the firm’s initial debt fund.
The move into India also comes at a time when, partly because of cooling trade relations between the US and mainland China and concerns about supply chains amid the COVID-19 crisis, India has been seen as an alternative destination for some US investment flows.
Currently, Creation’s portfolio companies serve more than 23 million entrepreneurs in India. The office in Bengaluru will help manage the firm’s growing portfolio of Indian companies, the firm said.
India is Creation’s single largest destination for impact investments in companies providing access to capital to unbanked and underbanked families and businesses.
Agarwal brings more than 14 years of experience across multiple financial service areas to Creation. Previously, she was head of structured finance and products at a large non-bank financial company in India and vice president for over a decade with a leading Indian rating agency. Agarwal plans to hire up to two associates in 2021.
As of December 31, 2020, the firm managed more than $725 million in private funds and other vehicles on behalf of individuals, family offices and institutional investors.
