Creation Investments Capital Management, LLC, an alternative asset manager and investor in developing markets in financial services, has announced the opening of its first India office in Bengaluru, and has named financial industry veteran Remika Agarwal as Vice President and Country Head.
The office in Bengaluru will help manage the firm’s growing portfolio of Indian companies that provide capital to those living at the bottom of the economic pyramid.
As part of its expansion in India, Chicago-based Creation has launched its first debt fund and expects to raise $100 million. The fund focuses exclusively 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 an interest in committing capital to the firm’s initial debt fund.
Prior to Creation, Remika has worked for 14 years in the industry. 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. Remika plans to hire up to two associates in 2021 to help manage the firm’s growing portfolio of Indian companies.
Commenting on its India-focused approach, Patrick Fisher, Founder and Managing Partner, Creation Investments, said:
“We are delighted to welcome Remika to Creation, and are excited to open our India office after building a strong presence in the country. By supporting companies that provide crucial capital needs, our efforts have helped Indian families and businesses. We aim to expand and accelerate our investments in the world’s second most populous country through our first debt fund and other initiatives.”
Over the past 10 years, the firm has invested more than $300 million in multiple Indian companies specialising in microfinance, SMEs, fintech, payments, agri-warehousing and finance and other businesses seeking to alleviate living conditions for underprivileged people. One of its portfolio companies is Bengaluru-based Capital Float.
Remika Agarwal said, “Our portfolio companies, which have withstood the shocks of the COVID-19 pandemic, and earlier demonetization in India, remain strong. We continue to seek investments in companies that have robust business models, strong management teams, and sound Environmental, Social, and Corporate Governance (ESG) credentials.”