India : Multiples Private Equity Fund III Limited

Nonsovereign Project | 52252-001

An equity investment of up to $35 million in Multiples Private Equity Fund III ('Multiples III ), a targeted $750 million India-focused private equity fund ($850 million hard cap) focused on investing in growth stage opportunities in middle-market companies operating in the consumer, financial services, healthcare, and technology sectors.

Project Details

  • Project Officer
    Mahmud, Farshed
    Private Sector Operations Department
    Request for information
  • Country/Economy
    India
  • Sector
    • Finance
Project Name
Multiples Private Equity Fund III Limited
Project Number
52252-001
Borrower / Company
  • Multiples Private Equity Fund III Limited
Country / Economy
  • India
Location
Type or Modality of Assistance
Approval Number Facility Fund Source Amount Status
7575 Equity Ordinary capital resources USD 35.00 million Committed
Strategic Agendas
  • Inclusive economic growth
Drivers of Change
  • Partnerships
  • Private sector development
Sector / Subsector
  • Finance / Infrastructure finance and investment funds

Gender
Some gender elements
Project Sponsor(s)
    Description
    An equity investment of up to $35 million in Multiples Private Equity Fund III ('Multiples III ), a targeted $750 million India-focused private equity fund ($850 million hard cap) focused on investing in growth stage opportunities in middle-market companies operating in the consumer, financial services, healthcare, and technology sectors.
    Objectives and Scope
    The fund proposes to invest in growth stage opportunities in middle-market companies (with enterprise values ranging from $150 million to $500 million) in India. It may also selectively consider control-oriented and early-stage investment opportunities. Target sectors are consumer, finance, health care and pharmaceuticals, and technology.
    Linkage to Country/Regional Strategy

    The investment in the fund is consistent with the country partnership strategy, 2018-2022 for India; it (i) highlights the need for recapitalization of the banking subsector to resolve its stressed assets; (ii) includes support for affordable housing, financial inclusion and the health sectors as strategic priorities; and (iii) focusses on the importance of gender equality.

    The ADB Operational Plan for Health, 20152020 strongly supports private sector approaches to address quality, efficiency, and financing issues in the health sector. Furthermore, the ADB Financial Sector Operational Plan 2011 and its subsequent review in 2017 recommend retaining the focus on finance sector development through investments in banks and non-bank financial institutions and promoting inclusive finance by supporting the housing finance sector. By investing in the fund, ADB is partnering with a leading fund manager that has identified health care and finance as two of its core sectors.

    Safeguard Categories

    Environment
    FI
    Involuntary Resettlement
    FI
    Indigenous Peoples
    FI

    Summary of Environmental and Social Aspects

    Environmental Aspects
    The potential environment and social impacts and risks associated with the fund's existing and/or likely future portfolio, its existing Environmental and Social Management System (ESMS) and its commitment and capacity for implementing the ESMS, have been assessed as per ADB's Safeguard Policy Statement 2009 (SPS 2009). Multiples will adopt an enhanced Environmental, Social and Governance (ESG) Framework which screens and categorizes investment against ADB's Prohibited Investment Activities List; applies environmental and social requirements to portfolio companies as per its ESG Framework; builds capacity tailored to the needs of the fund; includes a grievance redress mechanism; reports annually or as required to ADB on environmental and social performance.
    Involuntary Resettlement
    In compliance with ADB's SPS 2009, the project is proposed classified as Category FI for involuntary resettlement. The business activities undertaken by MPEF investees are not expected to involve land acquisition that would cause physical or economic displacement impacts.
    Indigenous Peoples
    In compliance with ADB's SPS 2009, the project is proposed classified as Category FI for Indigenous Peoples. MPEF III investments are not expected to cause significant impact on Indigenous Peoples.
    Stakeholder Communication, Participation, and Consultation
    The private commercial nature of investments limits the opportunities for stakeholder engagement. Conduct of consultation in relation to investees business activities, if required, will be carried out in accordance with applicable national laws and regulations and the Safeguard Policy Statement of the Asian Development Bank.

    Contact

    Responsible ADB Officer
    Mahmud, Farshed
    Responsible ADB Division
    Private Sector Investment Funds and Special Initiatives Division
    Responsible ADB Department
    Private Sector Operations Department

    Timetable for assistance design, processing, and implementation

    Concept Clearance
    03 Oct 2018
    Credit Committee Meeting
    08 Nov 2018
    Approval
    13 Dec 2018
    Last PDS Update
    12 Jun 2019

    Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

    The Access to Information Policy (AIP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.

    The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.

    In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

    Title Document Type Document Date
    Multiples Private Equity Fund III Limited: Initial Poverty and Social Analysis Initial Poverty and Social Analysis Apr 2019
    Multiples Private Equity Fund III Limited: Report and Recommendation of the President Reports and Recommendations of the President Nov 2018

    Safeguard Documents See also: Safeguards
    Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

    None currently available.


    Evaluation Documents See also: Independent Evaluation

    None currently available.


    Related Publications

    None currently available.


    The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.

    Requests for information may also be directed to the InfoUnit.