Alternative AIF and NBFC fund platform, BlackSoil Group has recently on 12th November announced that it has raised INR 110 Crore through its very first AIR strategy BlackSoil India Credit Fund (BICF).
BlackSoil aims to solve the issue of funds and access to finance for high-growing innovative business models. The company further plans to complete over 30 deals with an average ticket of around INR 20 crore per investment. BlackSoil aims to raise a total of INR 350-400 crore via this strategy.
It is no surprise that India is innovating new products and coming up with stronger and better business models every year, the need to change and survive in this dynamic market is a necessity and all businesses-SMEs and established are taking the necessary steps to make it big in the industry.
Ankur Bansal, Co-founder, BlackSoil mentioned in a statement that strong start-ups across various domains- technology, consumer segments, enterprise and healthcare are on their way with strong business models and their need of finances to grow their respective businesses is what will drive BlackSoil and this need will continue to grow for years.
Furthermore, the company mentions that their latest funds were mostly raised from High Net-worth Individuals and Family offices. The alternative credit fund platform will use these newly acquired funds to strategize credit distinction comprising of Structure debt and venture capital, in addition to targeting mid-ranged businesses seeking potential growth over the next few years.
What differentiates BlackSoil with other venture debt funding companies is that it is an NBFC which stands for Non-Banking Financial Company. Most Venture Capital companies seek to raise funds from several Limited Partners (LPs) and return the capital at the end of the funding session, whereas, BlackSoil possesses a permanent capital fund in the form of equity raised from High Net-worth Individuals (HNIs) and family offices.
Some of these family offices include HNIs- Shashi Kiran Shetty, Chairman of AllCargo Logistics and Ganesh D Gala, Managing Director of Navneet Education.
Some of BlackSoil’s portfolio companies include OYO Rooms, rental used car retailer-Spinny, lifestyle brand-Chumbak, bike rental company-Vogo, Rentmojo, logistics start-up- LetsTransport and educational-technology start-up iNurture among several others.
BlackSoil has till date deployed over INR 1000 crore in the last 3.5-4 years, across 80 plus financial transactions. Once the capital deployed comes back to the company in terms of principle, BlackSoil deploys it again, then again and its ticket initiates from INR 1 crore and goes all the way up to INR 30 crore.