Allianz Investment Management strategically invests in Edelweiss’ Private Debt Platform

Deepthi | Myequity news | Date : 11-02-2019 17:45:00 IST

Allianz Investment Management, the investment management arm of Allianz Group, has made an investment of over USD 200 million into Edelweiss’ Private Debt Platform. Edelweiss, one of India’s leading Diversified Financial Services has pioneered Private Debt investment in India and is one of the largest Private Debt managers in the country.

Private Debt investment is an important asset class for Allianz Investment Management in India, and the company has been looking to build a partnership over many years with credible Private Debt managers, who have the expertise to lend to projects and companies in a complex environment. For Allianz, this investment is their first Private Debt commitment in the stressed assets space in India. For Edelweiss, this partnership is the second such global institutional investor partnership in stressed assets and specialized corporate credit, after Caisse de depot et placement du Quebec (CDPQ), one of North America’s largest pension fund managers.

Rashesh Shah, Chairman and CEO, Edelweiss Group
said “We are pleased to have partnered with Allianz which marks their entry into Private Debt opportunities in India. Institutional investors are increasingly looking at private debt strategies in India more than ever before, and our recent fund raise - EISAF II, which was the largest ever from India and we believe is also the largest in Asia, clearly showcased our leadership in the Private Debt industry. We are confident that this partnership will enable Allianz to make the best of private debt opportunities available in India.”

Speaking about the development, Venkat Ramaswamy, Executive Director, Edelweiss Financial Services Limited said, “The partnership with Allianz comes at a time when there is a need for long term capital in India. We believe that with the constraints faced by banks and NBFCs, there is huge opportunity for private debt managers. At Edelweiss, we have invested in building deep capabilities in this space and are delighted by the trust placed in us by Allianz.”

Confirming the partnership with Edelweiss, Sebastian Schroff, Global Head of Private Debt and Opportunities, Allianz Investment Management said, "As a long-term investor, we would like to benefit from the continuous growth potential of the Indian economy and contribute by financing attractive companies. The various reforms that have been initiated, such as the insolvency and bankruptcy code, have further strengthened our belief in the structural opportunity of Indian private credit for an international investor. "

Ritu Arora, CEO & CIO Asia, Allianz Investment Management
said, “Asia plays an important role in the global portfolio allocation across all asset classes. The investment with Edelweiss fits well in our allocation of alternative investments in India.”

Edelweiss Alternative Asset Advisors Limited (EAAA), the alternative investment management arm of the Edelweiss Group, is one of India’s largest alternative asset management platforms and is focused on providing high quality investment opportunities in alternatives in India, catering to global and domestic investors across structured credit, infrastructure yield, real estate & distressed credit. EAAA acts as Manager /Advisor with respect to over INR 20,000 crores (USD 3 bn) from marquee Global LPs and some of the most discerning HNIs / Family offices in India. In 2018, it became the only Investment Manager to have launched an Infra Yield fund which has already raised INR 2500 crores (USD 360 mn).

About Edelweiss Group

About Edelweiss Financial Services The Edelweiss Group is one of India's leading diversified financial services company providing a broad range of financial products and services to a substantial and diversified client base that includes corporations, institutions and individuals. Edelweiss's products and services span multiple asset classes and consumer segments across domestic and global geographies. Its businesses are broadly divided into Credit Business (Wholesale & Retail Mortgages, SME and Business Loans, Agri and Rural Finance, Structured Collateralised Credit and Distressed Credit), Franchise & Advisory Business (Wealth Management, Asset Management and Capital Markets) and Insurance (life and general insurance).

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